How I Dealt With Domain Appraisal Scam without Losing Anything

[Mr.Natwarlal]

Please Note - This thread is created for some other help while I was dealing with Domain Appraisal scam and I was unaware about this scam..


I have described detailed situation to bring awareness in people involved in domaining business.. especially begginers

I am keeping other things as It is so that domainers can come to know start to end process..


Hi Folks,

I need your help..

I got offer of $4000 for one of my domain, but there is some problem

1) payment - Many of you know that the PayPal is almost worth nothing in India, it auto withdraws every penny in bank account, by order of central bank.

2) I have unverified money booker account, means I can accept only up to $3000

Here is What I want, :gl:

I want to hold maximum money virtually, so that I can make purchases without being tax liable. Please advice me some good options which have large acceptability. :tri:

So which is a good option to accept and hold $1000 virtually? :]

I will make frequent purchase from godaddy use some for entropay.

:wave:
Thanks

 

[DU]

Check or Wire?

 

[Mr.Natwarlal]

???

Check or Wire?

What you are saying? I can't understand.!!

 

[Bannen]

He means: can you be paid by bank wire, or by bank draft?

 

[Mr.Natwarlal]

Unfortunately not

He means: can you be paid by bank wire, or by bank draft?

Unfortunately not.. Paypal is doing the same..
I want my money virtual..

If the amount transferred in the bank, then I will become liable to pay tax. I am intending to make digital purchase online (domains, templates etc)..

 

[Domainerr]

I don"t know why Paypal is having Problems with Reserve Bank of India, i am also Disappointed with paypal because of automatic withdrawal to bank accounts..

 

[ajaydz]

eCop.com can hold but again you have to use that balance to buy through eCop only or have to with draw by Paypal /wire

 

[joshny]

try freelancer.com, you can hold the amount for however long you want, but ultimately the next purchase will have to be made with the same site, similar to ecop

 

[DU]

If the amount transferred in the bank, then I will become liable to pay tax. I am intending to make digital purchase online (domains, templates etc)..

So you want to be a tax cheat or is this a legitimate and acceptable tax avoidance scheme?

 

[Mr.Natwarlal]

A bad thing

I don"t know why Paypal is having Problems with Reserve Bank of India, i am also Disappointed with paypal because of automatic withdrawal to bank accounts..

One of my friend became NRI to keep his business with international clients in running condition. Now he is using NRE account and Now Paypal doesn't force auto withdraw his funds..

What we can say, A Victim of this cruel policy..

---------- Post added at 11:52 AM ---------- Previous post was at 11:46 AM ----------

So you want to be a tax cheat or is this a legitimate and acceptable tax avoidance scheme?

I Just want to buy digital goods and remaining Income on which tax is not applicable.

I don't want to pay tax.. (If money is kept virtually, I will definitely pay fees if applicable)

I don't want to gain interest..

I want to purchase digital goods.. (some domains,templates,hosting etc)

---------- Post added at 12:01 PM ---------- Previous post was at 11:52 AM ----------

Anyone knows safe sites such as entropay, to create virtual credit cards??

-Which can be prepaid with any one..
(ie- anyone can recharge my card without logging in with my account)

- must have validity of a year or 2

 

[DU]

I Just want to buy digital goods and remaining Income on which tax is not applicable.

I don't want to pay tax.. (If money is kept virtually, I will definitely pay fees if applicable)

I don't want to gain interest..

I want to purchase digital goods.. (some domains,templates,hosting etc)

No one *wants* to pay tax, we just do. Is the income non-taxable or are you just trying to make it non-taxable by hiding it in a virtual account?

 

[Mr.Natwarlal]

Its Misunderstanding

No one *wants* to pay tax, we just do. Is the income non-taxable or are you just trying to make it non-taxable by hiding it in a virtual account?

Hey Du, Du are nisht understanding..

I don't have a problem to pay tax, but the procedure is not convenient for me.

I will definitely pay virtual account fees although if the fee is under or equal to tax amount.

Payment of fees with x amount is always 1000 times convenient for me for paying tax for the same amount.

Hope you will understand..!!
Guten tag..!! :tu:

 

[4pm]

I don't have a problem to pay tax, but the procedure is not convenient for me.

in which way?

I will definitely pay virtual account fees although if the fee is under or equal to tax amount.

Payment of fees with x amount is always 1000 times convenient for me for paying tax for the same amount.

Paypal account fees have nothing to do with taxes - you need to pay them separately in addition to the acount fees and i'm pretty sure you cant pay your taxes in India via Paypal

..that's why Paypal/etc has so many restrictions in India - no one is paying taxes on their Paypal earnings. by automatically withrawing all incoming payments to your banking account the government just makes sure you'll pay the taxes since all income gets counted and taxed appropriately


pay taxes and sleep well..



*

 

[Keral_Patel]

I used to love that old system but then this new system is in place and every penny is auto withdrawn.

Now I know how it feels but to be honest. All you are losing is currency conversion expenses.

Other then that you can always claim tax deductions on your virtual purchases also.

EX: If I get 100 USD and I hold it in online account and I spend 50 USD and take 50 USD to bank then I am liable to pay tax on 50 USD. Which is the older system and outdated one.

Most of the payment processing gateways will want PAN card and other stuff. So in end the GOVT does knows about it.

Same scenario but without any dramas and without bending any rules is

I get 100 USD and it auto withdraws to my bank account and now I purchase 50 USD virtual goods. Therefore in my balance sheet I can show 100 USD income and 50 USD expense and still I am only liable to pay tax on 50 remaining USDs.

I would suggest that you just go with the rules that would be more beneficial in long run. [I know this sounds like a worthless advice because it did sounded worthless to me 5 years ago. But honestly telling it is beneficial and you can sleep peacefully at night]

Thanks.

 

[DU]

I used to love that old system but then this new system is in place and every penny is auto withdrawn.

Now I know how it feels but to be honest. All you are losing is currency conversion expenses.

Other then that you can always claim tax deductions on your virtual purchases also.

EX: If I get 100 USD and I hold it in online account and I spend 50 USD and take 50 USD to bank then I am liable to pay tax on 50 USD. Which is the older system and outdated one.

Most of the payment processing gateways will want PAN card and other stuff. So in end the GOVT does knows about it.

Same scenario but without any dramas and without bending any rules is

I get 100 USD and it auto withdraws to my bank account and now I purchase 50 USD virtual goods. Therefore in my balance sheet I can show 100 USD income and 50 USD expense and still I am only liable to pay tax on 50 remaining USDs.

I would suggest that you just go with the rules that would be more beneficial in long run. [I know this sounds like a worthless advice because it did sounded worthless to me 5 years ago. But honestly telling it is beneficial and you can sleep peacefully at night]

Thanks.

This is how I thought it worked. Thanks for confirming Seems op wants to put money into a virtual account so that account fees < tax fees.

But maybe I am nicht understanding.

 

[Keral_Patel]

I think accounting fees are very nominal. An accountant can do all the paperwork and file the income tax and also give proper guidelines and all.

But if saving accounting fees is the major concern over here then I guess the overall turnover of the business on yearly basis is not that huge. If it is into tens of thousands of dollars then hiring an accountant would be pocket change money for that person.

On other hand if that person is not able to even afford an accountant. I don't think GOVT has that many resources to go after that kind of tiny amounts :D But today it is smaller amounts. And if someone is planning to stay in business for a long run then it would be best strategy to shed out few extra bucks in starting years so that afterwards it doesn't becomes a headache.

In my very first year of the business I was feeling anxious and was getting hallucinations because I knew nothing about this stuff and the turnover was small yet the accountant suggested me that I should keep paperwork in proper manner. [I thought that this account just wants to scam me LOL]

After a decade it looks like another story and I can't stop thanking him for his advice.

 

[Mr.Natwarlal]

Stay Alert from Scams

Friends Thanks a lot for your help. I have rejected this deal..

I think it might be a part of scam.. 8-X


:talk: Explanation -

The person with whom I was dealing told me that he is an agent of another person, and his client loves adult,gambling,mobile phones related domains. He sent me the proposal because I have an adult domain.

He asked me about my offer, As I am new in this domaining business I quoted him price $5 only.

He told me that he is not interested in deal less that $1000 so I should quote a price $5000, and he will take commission of 15 to 20% and He asked me about my preferred payment option.

I accepted that offer, As that must be a donkey who rejects such deal.. Afterwards he told me to get an official certificate of price.
He sent me the following email..

Before we proceed my investor needs only one thing from you:

Since the sale price is not low in our case, my client needs an official certificate of price (appraisal) as a proof for his partners and for accounting purposes. He also needs to know you have no trademark problems. It won't be a problem since I know an official appraiser that offers this option (trademark infringement verification) for free as a part of the appraisal service.

I'm also interested in a good valuation and a high sale price because my client pays me a commission (10-15% of the sale price) on every domain purchase. So I'm not interested in low sales too.

Of course, you should not use a free automated service like Estibot or similar services. My client won't accept them. In our case we need a real manual valuation.

To avoid mistakes and wasting money on useless automated services I asked in the forum about reliable manual valuation/TM verification services. Please read this: {I removed Google thread archive link, with one costly certification agency in which He was the thread starter and answered by other person (I think that must be fake account of the same person)}

The process is very easy:

1. Go to the appraisal site and order the valuation with the TM verification. Submit your domains to them and let them know you have a buyer with $X,XXX offer so you need the appraisal near this value. After several hours you will get the results.

2. Then send these results via email and we'll proceed with the deal.

If you are new to the appraisal process I can help you with a step by step instructions.

Me -

Thanks for that. Since I am new in domain business, I can not invest any single penny anymore.

Here is my offer..

Purchase my domain name for $500, pay me with paypal

Get ICANN Certificate with your own name, and then you can sell the
domain to your client for anything amount that you want.

You can definitely purchase my domain without certificate as you know
the real price.
Instead of earning 2000 you will earn

5000 - 110 (valuation certificate cost) = 4890
I can not spend even a penny currently.

I am sure, you will think positively.. We both can make good business..

Dealing Person -

What will I do with your domain after purchasing? If I begin to buy names cheap and sell expensive to my client he will find it out and cancel our partnership. I cannot afford to lose my client.

Me -

Then please tell me another method for this deal. I can not invest any
amount, so I can definitely pay any such amount after only after
getting some amount.

Dealing Person -

There is no other method.

Me -

Oh, So can I produce apprisal certificate from other sites?

Dealing Person -

At your own risks. I cannot guarantee my client will accept your source. You can waste your money. But this is your decision. You may try.

Me-

As having no other option, I have to cancel this deal.
Thanks for your co-operation

----------------------------------------------------------------------------------

So What do you think, Is this kind of scam or what? I am happy that I rejected this deal because the cost of the official certificate was near $200 :tu:. I can not afford such amount without any confirmation. :td:

So what this whole experience taught me.. and which I want to share with you all..

Stay alert from scams..

---------- Post added at 05:11 PM ---------- Previous post was at 05:04 PM ----------

Thanks Keral,Du and other friends for help..
I think paying tax is the best option for any issue.. I will pay tax if my total income becomes liable for tax..!! Thanks all again.. I have definitely learnt a good message for my next deals.. without any loss..!!

 

[Kate]

Appraisal scam.

 

[Mr.Natwarlal]

Domain Scam First Email

I am Exposing his mentioned name and first email.. As others can take precaution

Hello!

I represent a big investor from the Emirates who is going to buy your (Here he mentioned my domain name)

Please respond and specify a desired price in the subject line.

My client is very interested in financial, shopping, adult, gambling, mobile phones and weight loss related domains.

Please let us know your preferred payment method (PayPal, Western Union, escrow etc.). If this is your first time domain sale I may help you with the sale/transfer process.

Are you a member of domain seller communities/forums? Probably, we know each other under some nicknames?

Regards,

David Duncan

Vice President

Switzerland
Basel
am krayenrain 18
Phone: 0041763987953
**************************

CONFIDENTIALITY NOTICE: This email communication may contain private, confidential, or legally privileged information intended for the sole use of the designated and/or duly authorized recipient(s). If you are not the intended recipient or have received this email in error, please notify the sender immediately by email and permanently delete all copies of this email including all attachments without reading them.

---------- Post added at 05:42 PM ---------- Previous post was at 05:32 PM ----------

NEVER PAY FOR AN APPRAISAL, IF A BUYER WANTS A NAME THAT BADLY THEY SHOULD PAY, OTHERWISE, IT'S A SCAM..

 

[DU]

Thanks for updating the thread - better than just leaving it alone.

This is a well known scam - I believe there is a thread stickied.

It's why everyone advises people read about domaining first... and why it has such a glistening reputation with everyone. It's a seedy industry, for sure.

Good luck with your future sales - don't ever ask for $5 unless you're on ebay

 

[Mr.Natwarlal]

Agree

Thanks for updating the thread - better than just leaving it alone.

This is a well known scam - I believe there is a thread stickied.

It's why everyone advises people read about domaining first... and why it has such a glistening reputation with everyone. It's a seedy industry, for sure.

Good luck with your future sales - don't ever ask for $5 unless you're on ebay

Yes, I agree with you.. Thanks for wishes..
Happy Domaining.. :tu: