How did this concept begin? Giving private gifts to one another is an expression of kindness, which has been going on for centuries. Governments have allowed its practice for individuals to share their wealth with families, friends and others. It has been a means of helping and blessing others on special occasions or when the need arises. Many cultures gift as a matter of course. Asian, Jewish and South American communities gift individuals within their culture on a regular basis so that they may start a business or buy a home. They in turn gift someone else to help enhance their lives. Habitat for Humanity is a great example of private gifting. Everyone participates with their time, their talents and materials to build a home for someone else. Some participate with a hammer, some with nails, some with food and others with the monetary gifts to purchase the supplies, but all create a team that works together to bless someone's life. Private gifting is a concept embraced by private groups of individuals and has been in existence for many years. Our private activity does not involve network marketing, multi-level marketing, or a business or commercial activity. There are no business transactions, investments and/or securities involved in this activity. There is no business or company name or location and there are no directors, officers, shareholders or principals. Individuals simply support each other in a team concept and help change lives. The concept of private gifting is based upon the fact that both American and Canadian citizens have the Constitutional right to gift property, cash and other assets, and are subject to the rules and regulations established by the laws. The U.S. gifting rules are found in the IRS Tax Code, Title 26, Sections 2501-2504 and 2511. The law states that one or more individuals can give a gift to another individual of up to $11,000 each per calendar year without any tax liability to either the giver or receiver of the gift, because the tax on the gift has already been paid. These gifts are not included in the gross income of the recipient. Is it legal? Yes. Churches, civic groups and people from around the world have participated in organized gifting for over 300 years. Laws state that it is legal for individuals to exchange gifts. In the United States we have the Preamble, the Constitution and the Bill of Rights to protect a private citizen's rights to earn, pay taxes and give away property and cash as long as it is done according to the laws and codes of this country. How does the gifting activity work? Individuals share using a basic concept that "All things must be done in order" - the Universal Law of Sowing and Reaping - "when you give, you shall receive." This follows God's Law of Reciprocity. "Give and it shall be given unto you." This activity is offered only by means of an exclusive one-to-one invitation. When someone accepts the invitation, they move through a natural progression from the giving to the receiving stage of the activity. In this activity, there is no fixed hierarchy of individuals who have an advantageous position or unfair advantage over new participants. Is this a pyramid? No, this is not a pyramid scheme. A pyramid is associated with a company or a business. We are not a company, just a private sharing club. We have no sales quotas, we do not sell positions and we do not have an ever-widening base to the structure, which just keeps going and going. A pyramid never allows anyone coming in on the bottom to ever reach the top. Everyone gives the same gifts, works together in team dynamics and receives the same gift. In a pyramid, only those at the top profit while those at the bottom never reach the top. In a pyramid, people can and have lost their money. A pyramid is also not to be confused with "Network Marketing". Although Network Marketing is a legal and viable source of income, when was the last time you, or anyone you know, was able to start at the bottom of the company and reach the top position in the company? NEVER! We are neither a networking company nor a pyramid scheme. |
As great as this program is, some people simply think it's "too good to be true", and must be illegal, immoral or unethical. What makes this program legal? 1) The IRS Tax code Title 29 and Publication 950. 2) It is NOT pyramidal, but linear in structure. There's no "fat cat" at the top benefiting from others. A person starting today can easily generate more money than someone that's been in a year. Copy cat programs in the past were closed because of this illegal structure, which we are NOT. 3) It is a private activity and by invitation only. There are no open forums, meetings, or conferences. All guidelines are stated in the back office. 4) You can give and receive up to $12,000 (effective Jan. 1, 2006) from any one person within a calendar year. Of course, $3500 is the most we give or receive (well within the IRS guidelines). 5) The Gifting Statement and Non-Solicitation forms we sign are binding between two individuals. High profile lawyers were brought in to ensure the wording and content would make this activity 100% legal ensuring the longevity of the program. |