POLICY NOTICE RELEVANT TO IRS FORM 1099-K
Erroneously Reported “Remittance” Transactions via IRS Form 1099-K, F.B.O. iCovest Group Group
NOTICE TO AGENT IS NOTICE TO PRINCIPAL.
NOTICE TO PRINCIPAL IS NOTICE TO AGENT.
To Whom It May Concern:
In consideration relative to any individual or organization having participated in CoVested Charitable Contribution through the iCovestMarket.org (iCovest Group Group) we wanted to bring to your attention the error in attempting to issue any IRS Form 1099-K F.B.O. iCovest Group Group (hereinafter, “iCovest”), such that you may correct your records in advance, and adjust any consideration for any report to the IRS pursuant thereof.
iCovest, by “rule of necessity” under common law, has a private ITIN, but serves only in tax-excepted capacity (e.g. has no regulated or commercial purpose, and receives only charitable contributions in the form of CoVestment). IRS Form 1099-K pertains only to “payees” according to the form instructions, and in both cases where this form is required to be filed with the IRS, iCovest has not received payments in either case as specifically defined below. Regardless, any such form filed past, present or contemplated thereof will have been erroneously filed with the IRS as if iCovest did receive payments, putting iCovest in the category of a “payee” and potentially within the jurisdiction of a “taxpayer.”
This is wrong, and requires advanced notice provided herein, and or immediate correction.
The IRS rules and instructions are very clear. More specifically, by the legal definition, the term “payment” is the delivery of funds in settlement of a claim or debt; fulfillment of a monetary obligation. Whereas the terms “CoVestment” and/or “charitable contribution” is the act by which the owner of a thing voluntarily transfers the title and possession of the same from himself to another person, without any consideration; a gift.
Bottom line: “charitable contributions” and/or “CoVestments” are NOT “payments”, and in so far as are qualified as “charitable contributions” as defined by the IRS Publication 526, are excepted transactions. (e.g. do not require reporting)
By transacting and/or exchanging as registered General CoVestor, PCM and/or SBM here on the iCovestMarket.org, you acknowledge all of the above, will make the necessary corrections as required, and also that iCovest is under no obligation to provide you or any third party with any additional information at any time, including but not limited to any changes or corrections to any of the information we have provided in this letter.
Should you have any questions about this matter, please feel free to contact iCovest by CLICKING HERE.