The word on the street is that the Internal Revenue Service IRS) is sending audit teams to a number of factoring companies to be sure that they are reporting any structured settlement factoring transactions that have been completed without Court approval. Such transactions require a 40% excise tax under the Internal Revenue Code. Apparently the IRS has been in to see Novation Capital and is on its way to R&P Capital. I understand that the IRS is working its way up the food chain to eventually raid the Bryn Mawr bunch refrigerator.
Time for song (to the tune of "The Brady Bunch")
- This is the story of a man named Goodman
- Who was deep discounting just fine on his own
- He hired a Byclreemed haired 1970s-suited actor
- But no one con-doned
- Then the one day when Goody got competition
- DMI created alter egos just for Mike
- Pay Per Click, Bad Video and Joey Crack
- Whatever…same discount rate spike!
- Til’ the one day when the Goody met the IRS
And he knew it was much more than a hunch,
That this group was part of an audit team.
And could be ready to eat his lunch.
The Bryn Mawr Bunch, The Bryn Mawr Bunch. They Just Hope They Don’t Become The Bryn Mawr Brunch.
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