Buying Kruggerands

Oh, come on. Reread the OP:

What possible reason would there be, other than structuring, for the BIL not to buy the gold himself?

Is this proof that he is attempting to structure? No. But how would it be in the OP's best interest to get involved in a deal that is already making him feel hinky?

From the OP

"Says he cant or shouldn't buy more from the guy he has been buying from".

OK, You are correct, they are trying to get around buying from the original dealer. We don't know why... No one has said... I could guess several reasons... Good and bad...

But the main question posed by the OP is: "Am I exposing myself to tax implications or what not?"

Yes, this is all "hinky". I'd say no to my BIL unless I knew why and trusted him... But this is not my family, nor my problem etc. Just saying that in short, I do not see how this IS illegal.

I can think of many reasons why I'd avoid large purchases of gold from just one dealer... But I cant think of why I'd ask someone else to buy gold for me if it was under $10K. OK, scratch that... If I could not make it to a dealer as I was unable to (injury, work, etc.).
 
Chris, it is quite simple. BIL has more than 10k in cash that he wants to use to buy gold. But rather than take all of that money to the dealer to buy it in one transaction, he took a portion of it himself and now wants to get his BIL to buy gold with the remaining portion. Add the two portions up and it is more than 10k and would have to be reported. He is structuring the cash transaction to avoid the reporting to the Feds. That's illegal. You can argue that it shouldn't be illegal (and I might agree with you there), but that is a different argument.

I can think of many reasons why I'd avoid large purchases of gold from just one dealer... But I cant think of why I'd ask someone else to buy gold for me if it was under $10K. OK, scratch that... If I could not make it to a dealer as I was unable to (injury, work, etc.).
Oh, come on. You don't really believe that the BIL is asking the OP to buy the gold because of work or an injury. Here's what the OP wrote. Read it again:

My brother in law wants to give me cash to buy him three 1 oz kruggerands. Says he cant or shouldn't buy more from the guy he has been buying from but wants to work around it by having me to do it. I am seeing red flags but dont know if they are founded or not.

But the main question posed by the OP is: "Am I exposing myself to tax implications or what not?"
What do you think would be more important to the OP: not getting a small fine from the IRS or not getting investigated for a federal felony?
 
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Oh, I see. No one will know any better and how could they prove anything and what could possibly go wrong? [rolleyes]

OPM, why don't you have arlow point his BIL to you. You can help him out, since you seem so eager to convince other people to get involved in a possible federal felony.

It seems you might have misunderstood my points.

Point # 1: OP would not be breaking any laws and as such should not be frighten by comments on this board that men in costumes will come to shoot his dog.

Point # 2: It is not the question of whether or not anybody learns about it (because OP would not be doing anything illegal), but it’s a question of privacy. And although men in costumes are allowed to ask any question they like (just like you and I), their questions are NOT any different than those asked by any random stranger. Thus OP does not need to answer any personal questions. And yes, corpus delicti would apply. However, even if he answers questions - he is still not guilty of ANY wrong doing. But since these days men in costumes rather play pin the tail on the donkey than solve real crimes and maintain justice, anytime you open your mouth you risk being victimized by them. So it’s best not to open your mouth.

Point # 3: I am not trying to encourage anyone to do anything. And I am most definitely not trying to encourage anyone to engage in illegal acts. However, I am saying that there is no need to fear one’s own shadow. The men in costumes do not have any special rights. They are only trying to intimidate us into believing that they do. They are not more equal than us – it just appears that way because they are standing on their feet and we are on our knees.

Point # 4: If OP’s BIL was my friend, I would not hesitate to do him a favor. Whether it meant helping him to buy groceries for home, or liqueur for a BBQ, or getting his stranded ass because his car died, or buying him some coins. I do favors for my friends all the time and they do them for me too. In my view there is no difference between picking up some groceries and some coins - both legal and both are not a big deal to me. Now, if I felt my friend was trying to take advantage of me – well s/he would not be my friend for very long.

Point # 5: I understand that standing up is tough. Always has been. Government has only, but one power, the monopoly on violence. They know that and use it to the fullest. It seems society works better if we grand a group of our choosing limited monopoly on violence. The main issue with granting any group such monopoly is that we must always be vigilant and constantly restrain the ability of said group in exercising their granted privilege of violence. Unfortunately, we had failed and things have gotten totally out of control. But if we fail to at least salvage what we still have – the current random molestation, roadside theft, unprovoked kidnappings will turn into random beatings like the one illustrated below and then into random executions. You might think that I am exaggerating, and I wish I did, but historically that has always been the progression of things. So the main point of my prior post was that it is of paramount importance to not yield even an inch to those attempting to abuse their position of trust. Not because one must illustrate one’s pride or belittle those who overstep their rightful duties, but because our collective feet are half way off the cliff and we no longer have any inches to spare. [wink]

 
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Point # 1: OP would not be breaking any laws and as such should not be frighten by comments on this board that men in costumes will come to shoot his dog.

Baloney. Structuring is against the law. You know it is. He would be involved in it. He could try to claim that the BIL kept him in the dark, but that's going to be cold comfort if the feds come after him.

You can argue that the feds likely wouldn't find out. But don't downplay the risks of getting involved in the prosecution of structuring.

Point # 2: It is not the question of whether or not anybody learns about it (because OP would not be doing anything illegal), but it’s a question of privacy.

More random BS that is not, in any way, germane to the issue. You haven't read or bother to understand anything that I've written. I've never defended the law. I've just told the OP to avoid getting jammed up.

Point # 5: I understand that standing up is tough.
So, it isn't against the law and he wouldn't get jammed up, but he should do it anyways so that he can "stand up" against the feds?

[rolleyes]

That's great logic there.

I'm out of this thread. OP, do what you want. Help out your BIL even though you already feel something is shady. After all, how could anything go wrong? OPM has your back [rolleyes]
 
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My guess is that the BIL casually knows the coin dealer where he buys his PMs. The guy may know his address and the BIL does not want people to know that he has 5-10 grand in gold at his house. Even if it's in a safe, I'm sure I could think of a way to get you to open it. The BIL sounds like a smart guy to me. Even if it is legal, I don't want the .gov to know I have assets outside my saving account.
 
Moot issue now, he bought them himself elsewhere.

Glad it all worked out.

M1911: I was not trying to have an argument... Just saying that the OP NEVER said or suggested it was a structured transaction, that is all. I still believe in innocent until proven otherwise. I believe the OP's tax question was on capital gain's.

Chris
 
Moot issue now, he bought them himself elsewhere.

Oh man! Now you are screwed. You must dime him out to the Feds or men in costumes will shoot your dog and kidnap you for conspiracy. Do it now!!! Do it while you can!!! Save yourself!!! Think about the children. [crying]
 
their questions are NOT any different than those asked by any random stranger.

Yes, they are. You are not at risk of criminal charges if the random stranger thinks you are lying.
 
Yes, they are. You are not at risk of criminal charges if the random stranger thinks you are lying.

+1 Rob is absolutely correct. And that is one of the main reasons to keep the mouth shut even if you have absolutely nothing to hide and totally on straight and narrow.

Sorry dude. I was trying to give you some reps, but the system those not allow it. So for now +1 in my heart. [grin]
 
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