tuphat

Never, ever consent to a police search. If they have probable cause, they will search with or without your consent. Also, just because driver consented to search of car doesn't mean you had to consent to search of your person. Any attorney will advise a polite but firm refusal.

Although I could second your overall conclusion, I probably wouldn't be able to convince you otherwise.

toxicity

I think these types of comparisons really have nothing to do w/ the issue at hand. Given MO deposits, etc, there are more complex questions about potential structuring, etc. that you can really get yourself in trouble with if you misspeak.

smoothmunkey

It always depends on the situation. You had an easy to follow and simple explanation. If it had involved MO, the officer's head may have exploded

He could still have rejected your explanation and done whatever he wanted with you and your money - from a practical perspective, not a legal perspective.

us1549

I hate to revive an old thread, but I also received a visit today from an IRS contractor accompanied by a detective from our local sheriff's office.

My experience was similar to OP's in that they wanted to know why I was buying gift cards. I explained it was for miles/points and they were very professional and said they would be in touch if they need anything further.

bigugly

What kind of GC volume are you doing?

tuphat

Curious as to what type of credentials are presented by a "IRS contractor"? And how did they know where to find you?

Beckles

There is absolutely no need to justify adding relevant information to a thread.

Andy2

+1. I presume the gift cards were purchased with a debit or credit card listing a home address, and that is where the agents showed up. Sounds like a SAR was filed and the IRS Criminal Investigations Department followed up with a contractor who brought along local law enforcement since credit card theft is often a state criminal matter more so than federal.

us1549

I didn't get a good look at the badge, but I probably provided my address on an SAR (or something similar) at one time or another.

benny08

I very curious as to your MS volume.

uncommonsensical

did they ask to see any records/did you volunteer any 'proof' of what you're doing? telling the govt anything in the police state we now live in doesn't sit well with me. that is countered with the desire to get off their radar- which easy cooperation would hopefully do. tough choice. my concern would be essentially telling and IRS agent that this is a organized and planned 'enterprise' designed for gain. would hate to say something that makes it qualify as a 'business'= taxable. cash back cards really muddy the waters too. i worry that they would take the view that it isn't a rebate, that it's more akin to a reseller who buys something for turn a profit. like i said, not an in depth conversation i'd want to have with an IRS agent.

yeah, there is the case law- but that case law was not about MS.
i think about this because i would not be surprised if i got a visit one day and i'm not sure what i'd say...

taildragger

What is an IRS contractor?

Andy2

tuphat

I have never heard of an IRS CID contractor, and wouldn't even begin to think about talking to them before verifying their identity. You can pick up badges at flea markets & online for tree fiddy and change.

Even after verifying their identity, I would very strictly limit what I said to them. A polite "I buy them for points/miles" is fine, but I wouldn't answer any questions -- how does that work? how do you liquidate? etc. Feel free to say, politely but firmly, "I'm finished talking to you. Good day."

P.S. Also, all conversations outside the house. Never admit any LEO without a search warrant. "Mind if I come inside?" "Yes, I do, we can talk here."

tuphat

Just to pick out one of several points of misinformation in your post:

To obtain bank records, the IRS has to prepare a summons and observe certain notice and waiting periods, incl. notifying the taxpayer that a summons has been prepared/served.