LTD BSM Compensation Contract 👇
LTD'S NATIONWIDE TAX EVASION SCHEME
WE ARE TOLD THE MONEY IS JUST FOR RENTAL COSTS
As distributors/Amway IBOs, we are told that the money we pay to attend ALL LTD meetings and events throughout the U.S. is essentially to cover the cost of renting venues, paying for equipment, & putting on events ONLY.
That representation matters.
Because what distributors/Amway IBOs are not being openly told is that the LTD event system is also a source of income for higher-level Amway participants that are in LTD. Amway higher-ups in LTD earn a source of income from LTD Quarterly conferences-(stated explicitly within the LTD BSM Compensation Contract) held throughout the U.S. In addition, Amway higher ups in LTD earn a soure of income from weekly LTD Info Sessions-(Group Evaluation Sessions), Monthly LTD Team Meetings, LTD Nightowls, LTD Attitude Sessions, LTD Jam Sessions, LTD Freedom Parties, & more.
This isn't simply:
Rent a room → collect enough money to reimburse the rental → hold the meeting.
Money is being generated through an entire recurring LTD event system including:
- Weekly LTD Info Sessions-(Group Evaluation Sessions)
- Monthly LTD Team Meetings
- Quarterly LTD Conferences
- LTD Night Owls
- LTD Freedom/LTD Retirement Parties
- Books sold by LTD and LTD merchandise
Higher-level Amway participants within the LTD organization financially benefit from the LTD event system while ordinary low level Amway distributors/IBOs are being told that their payments are essentially covering event and rental costs.
And there is another major problem:
Taxable retail transactions are occurring inside LTD events without a sales tax charge.
I HAVE THE RECEIPT
This isn't speculation.
On January 12, 2020, I purchased physical books at an LTD- monthly team meeting.
The electronic receipt identifies the products sold:
Chop Wood Carry Water
4 books × $13 = $52
This wasn't merely a meeting. Retail commerce was taking place inside the LTD monthly team meeting.
This is documentary evidence of an actual retail merchandise transaction occurring at an LTD team meeting without a sales tax charge.
Many states including Iowa subjects retail sales of tangible personal property to sales tax. This means LTD is required to collect and remit sales tax for the products they sell at their for-profit events. Each product sold at LTD for-profit events must have an additional sales tax charge-(a percentage), and the additional sales charge must be paid the state LTD holds meetings. However, LTD does not charge sales tax for each product sold at LTD for-profit events. This can easily be proven by the recipts below. The recipts show products sold at an LTD for-profit event-(monthly team meeting). There is no sales charge on those recipts.
Because LTD does not have a sales tax permit and LTD sells products at for-profit LTD events with no sales tax charge, LTD is committing a multi-state level tax evasion scheme.
Recipt of Book Purchases Made at LTD/SLG-(Schwers Legacy Group) Monthly Team Meetings 👇
Recipt of Merch purchases Made at LTD/SLG-(Schwers Legacy Group) Monthly Team Meetings 👇
NO SALES-TAX PERMIT
LTD does not have an applicable Iowa sales-tax permit for the LTD sellers/event operators. In addition, LTD does not have an applicable sales tax pemit for any of the states LTD places meetings and events.
Iowa's Department of Revenue states plainly that anyone making retail sales in Iowa must obtain the appropriate sales/use tax permit and that selling without a required permit is a serious misdemeanor. This applies to many other states as well.
In addition, LTD is selling products at some of their events including LTD Monthly team meetings and LTD quarterly conferences. Without a sales tax permit.
LTD Weekly Info Session & LTD Monthly Team Meeting Recipts
MONTHLY TEAM MEETINGS
Monthly LTD team meetings are apart of the LTD income-producing event system throughout the U.S.
Attendees pay asmission to attend.
Low level Amway distributors/IBOs in LTD are led to believe these charges were essentially associated with ONLY covering equipment costs & rental costs to rent out a venue.
But higher-level Amway participants in LTD receive a source of income through the LTD event system.
And products are being sold inside these LTD meetings without a sales tax charge.
I personally have the receipt proving it above.
Once taxable merchandise is being sold, the tax issue is no longer hypothetical; it's required.
The responsible retailer has sales-tax obligations. LTD is required to collect and remit sales tax on products sold at LTD for-profit events. This is because LTD is the event organizer for all LTD events and LTD sets the ticket prices for all LTD events-(stated explicitly in the LTD BSM Compensation Contract). These events have products being sold without a sales tax being charged charged. As an event organizer, failure to not collect and remitt sales tax for products sold at the organizer's event is State Level Tax Evasion. State Level Tax Evasion is a serious FELONY in every state.
LTD Team Meeting Recipt
QUARTERLY LTD CONFERENCES
LTD also holds recurring quarterly conferences throughout the U.S. LTD is the event organizer for every LTD quarterly conference.
Distributors/IBOs purchase admission and then enter an environment where books and other LTD merchandise are sold.
The same principle applies.
Putting taxable merchandise inside a business conference does not make the merchandise tax-free.
Those sales have to be properly accounted for under the applicable state's sales-tax laws.
LTD sells products such as merchandise, books, etc at LTD quarterly LTD conferences. These products have no sales tax charge. In addition, LTD does not have a sales tax permit for the states LTD holds quarterly conferences.
As an event organizer, due to not having a sales tax permit for the multiple states LTD holds quarterly conferences, and not collecting and remmiting sales tax for the products sold at LTD quarterly conferences; LTD is guilty of STATE LEVEL TAX EVASION NATIONALLY.
LTD spring Conference Recipt
LTD Spring Forward Conference Recipt
NIGHT OWLS
LTD also operates Night Owls throughout the U.S.
These are paid gatherings associated with the LTD event system.
Attendees purchase admission and food is provided.
Night Owls are also a source of income for higher-level /Amway participants in LTD.
Iowa and many other states taxes prepared food, including qualifying food sold heated, prepared by the seller, catered, or provided under other circumstances meeting Iowa's definition of prepared food.
LTD is required to collect and remitt sales Tax to the state where LTD has Night Owls and charges admission to attend nightowls. This means there should be an additional sales charge for every ticket admission fee to attend an LTD Night Owl. However, LTD does not charge a sales tax for every admission fee to attend a nightowl. This means LTD is not collecting and remitting sales tax to the state LTD holds Night Owls. Because LTD does not collect and remitt sales to the state LTD holds Night Owls, LTD is committing state level tax evaison.
FREEDOM PARTIES
LTD organizations also hold Freedom Parties throughout the U.S. They are sometimes called retirement celebrations.
These events celebrated high level Amway distributors who "supposedly" became financially capable of leaving their jobs because of their Amway businesses ALONE.
People purchase tickets to attend.
The events included food, games, entertainment, and other activities.
These parties are also a source of income for higher-level Amway participants in LTD
These aren't merely friends gathering privately to celebrate somebody.
Money is collected through an organized event.
And Iowa and many other states specifically taxes certain amusement admissions and participation fees, while taxable prepared food and taxable merchandise carry their own sales-tax requirements.
This makes LTD required to collect and remitts sales for freedom parties.
LTD violates this requirement by not collecting and remitting sales tax from LTD Freedom Parties. This makes LTD guilty of state level tax evasion.
RUNNING THE EVENT CREATES ADDITIONAL RESPONSIBILITIES
For example, many states including Iowa's rules go even further.
The Iowa Department of Revenue states that a person who runs an event where vendors offer taxable products or services for sale is considered an Event Sponsor.
The sponsor must register the event and identify the vendors making taxable sales.
That is directly relevant to an LTD event where products are being sold. Especially because LTD is the event organizer for all LTD events through setting the ticket price for all LTD events, charging admission, & earning a source of income for all LTD events-(stated explicitly in the LTD BSM compensation contract).
THE "RENTAL COST" STORY DOESN'T EXPLAIN THE ENTIRE SYSTEM
This is why the representation made to distributors/IBOs about LTD meeting charges covering rental or event costs matters.
The actual LTD system involves much more.
Money is collected repeatedly.
Higher-level Amway participants in LTD receive income from the LTD event system-(stated explicitly in the LTD BSM contract).
Physical merchandise is sold at LTD quarterly conferences and monthly LTD team meetings.
Food is provided at LTD nightowls.
Games and entertainment occurs at LTD freedom parties.
LTD conferences generate additional transactions.
And all of this occurs through a recurring business organization called LTD.
This isn't simply passing a hat to reimburse somebody for renting a conference room.
FOLLOW THE MONEY — AND FOLLOW THE TAX
The records should establish the truth.
Produce the:
- Iowa sales-tax permits
- Sales-tax returns
- Sales-tax remittance records
- LTD Event registrations
- Square transaction histories
- Cash-sale records
- Merchandise sales records
- Food and catering invoices
- LTD Team Meeting accounting
- LTD Conference accounting
- LTD Night Owl accounting
- LTD Freedom Party accounting
- LTD Event profit-and-loss statements
- General ledgers
- Records showing payments or distributions to higher-level Amway participants in LTD.
Then compare them.
Money collected → taxable transactions → responsible seller → permit → tax collected → return filed → tax remitted.
STATE-LEVEL SALES-TAX EVASION
LTD's event system is used to conduct taxable transactions without properly complying with applicable state sales-tax requirements.
Distributors/IBOs are not given the complete financial picture when they are told that LTD meeting charges are essentially ONLY for rental/event costs while the LTD event system is actually generating a source of income for higher-level Amway participants in LTD.
And I have documentary evidence proving that an identifiable business was selling physical merchandise at an LTD monthly team meeting.
Four books.
$52.
At the monthly LTD team meeting.
Iowa and many other states requires taxable retail sales to be properly permitted, collected, reported, and remitted.
If everything was properly reported, the records should prove it.
However, the records instead establish that taxable transactions are knowingly being conducted without required tax permits throughout the U.S. In addition, the required sales tax is intentionally not being collected & emitted throughout the U.S. This makes of LTD guilty of State Level Tax Evasion Nationally.
WHERE IS THE TAX?
Amway IBOs/distributors in LTD are told admission fess to attend LTD events throughout the U.S. is essentially for rental and event costs ONLY.
The LTD event system is actually a source of income for higher-level Amway participants in LTD-(stated explicitly in the LTD BSM Compensation Contract).
-Products are being sold inside the meetings.
-Paid LTD Night Owls included food.
-Paid LTD Freedom Parties included food, games, and entertainment.
-Quarterly LTD conferences include merchandise sales.
-Monthly LTD team meetings include merchandise sales.
-The money is collected.
-The products are sold.
-The LTD events generates income.
-The LTD events are for-profit events.
-LTD has no sales tax permit
-LTD does not collect snd remmit sales-tax for the products they sell at LTD for-profit events.
Why Does LTD Charge Cash-Only for Some of Their Live Events—(weekly info sessions, & monthly team meetings)
It's easier to hide money/revenue from State Level Tax Authorities.
It makes it easier to distribute money amongst higher ups that are in LTD without leaving a trace.
Also, since every Low Level Amway Rank in LTD is deliberately led under the false impression admission fees are only for rental costs, nobody ask questions.
Higher ups that are in LTD are able to keep a low radar and distribute money without State Level Tax Authorities and Low Level Amway Ranks in LTD from noticing a thing.