he's running it as part of Pirate Software. This sounds like its not quite right, and the "Nature of Business" in the below Business Filing doesn't list anything to do with Ferret Care, perhaps you could interpret the Ferret Software Livestream as Streaming/selling Merchandise.
What really irks me is that his 100% intermingling this money & might not be today but it'll definitely come back to be a problem for him. I just can't understand not wanting to set yourself up as a 501(c) and divest the two separate entities.
There is literally nothing here.
Jason will not get into any IRS kind of troubles with this. He's making money with streaming and merchandise, the ferrets are a means to an end (aka business expenses). As long as he pays his taxes, he's golden.
He is a streamer offering digital goods and services, and selling merchandise.
There is nothing legally requiring him to use the "ferret income" only for "ferret expenses". There does not even need to be such a thing as distinct "ferret income" and "ferret expenses" in his bookkeeping.
It's all the same revenue stream, going into his pocket (his company), and he gets to freely decide how he spends it.
If he turned it into a separate 501c3, that would require far more accountability and he couldn't freely use the income. It would only be tax fraud, as he claimed, if he continued using the "ferret income" for himself and/or his other business avenues.
501 would vastly reduce the tax burden, meaning he'd be able to invest 100% of the money he gets for the ferrets into actually caring for the ferrets. His fans would even be able to use the donations as deductibles!
A 501 would also greatly reduce the options to enrich himself from it, so naturally he doesn't do it. He would only be able to pay himself a reasonable salary. The only reason to NOT turn this into a 501 is because Jason makes more from it every month than what is a reasonable salary for a major streamer.
But in the minds of his retarded minions, it's still a charity (which it is not).
He's not scamming his community by the strictest definition of scamming, but definitely being his usual dishonest self again. The ferret shelter does not exist as a separate business entity. It is his business.
But instead of saying "yeah guys I make money as a streamer and use some of it to feed the way too many ferrets I own, watch em here", he spins up this big brain thing about how it actually is this big selfless altruistic operation and the only reason he is technically on paper not a charity is this meaningless legalese fine print.
Again, Jason is a dishonest piece of shit grifter, but he's not doing anything breaking tax code (that we know about) in how he handles his business.
Imagine Linus from LTT buying some tech gizmo (business expense) and using it in one or more videos and streams (generating business revenue). The gizmo, depending on value, is either a direct tax write-off ("immediate expense") or written off over time ("fixed asset depreciation"/"MACRS").
There is no "gizmo revenue", it does not separately get tracked what part of the income the gizmo is responsible for, the IRS does not care if the "Nature of Business" says something with gizmo in it, and it does not require Linus to set up another entity if he wants to also start making travel vlogs.
IRS cares about two things mostly: Did you declare all income? Did you correctly file the expenses?
You could be selling crack and children on Epstein island, and those questions would still be the only thing the IRS cares about.
Jason could be sodomizing the ferrets to death for crypto, and the IRS would only require him to prove that he did declare all earned bitcoins as income, and that he really did sodomize every ferret he wrote off as business expense.
Hope this was understandable even without voice mod and MS paint. Some of you mfs never ran a business and it shows. No hate.
