Taxes or Pseudo-Taxes

Pseudo-Taxes: How Scammers Steal Your Money During Withdrawal

Financial markets have long been a hunting ground for fraudsters who drain money from unsuspecting clients. Pseudo-taxes are one of the most common scam tactics used by fraudulent brokers.

In this article, we will break down how this scheme works, the traps victims fall into, and how to avoid losing your money.

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🔹 How Does the Pseudo-Tax Scam Work?

The scheme unfolds as follows:

1️⃣ The client falls into the hands of a fraudulent broker and makes several deposits.
2️⃣ Over time, they are shown massive profits, for example, investing $10,000 and seeing their account grow to $150,000 in just a couple of months.
3️⃣ The client, convinced of their success, requests a withdrawal.
4️⃣ The “analyst” happily responds: “Of course, we can process the withdrawal! How would you like to receive your funds?”
5️⃣ Just as the client starts planning how to spend their “hard-earned” money, the analyst adds: “Since this is profit, you are required to pay taxes before the funds are released.”
6️⃣ The client is informed that 32-35% of their profit must be paid upfront before the withdrawal can be processed.
7️⃣ If the client sends the money, they are then hit with additional unexpected charges, such as:

• Transfer fees
• Verification fees
• Insurance fees for the transfer
• Cash delivery fees (yes, even this exists!)

👉 Ultimately, the victim loses everything: both their initial investment and the additional ‘tax’ payment.

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🔹 Why Do People Fall for This Scam?

📌 Psychological Manipulation

When a person sees a large balance on their account, their mindset changes. They become more trusting and vulnerable to suggestion.

"How can this be a scam if I see $150,000 in my account?" – a typical victim's thought process.

At this stage, critical thinking shuts down, and the person is only focused on getting their money out as soon as possible.

📌 Misconceptions About International Taxation

Scammers justify the so-called tax payments using these common lies:

✅ "We are an international company, so we follow different tax laws."
✅ "Taxes must be paid in advance, or the bank will block your withdrawal."
✅ "This is a regulatory requirement."

All of these statements are lies!

❌ Brokers do not collect taxes on behalf of clients – taxes are handled by your local tax authorities.
❌ Taxes are never paid upfront – they are deducted from profits during tax reporting.
❌ No legitimate financial regulator requires tax prepayment for withdrawals.

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🔹 Types of Pseudo-Tax Scams

Fraudsters use dozens of excuses to demand money. Here are the most common ones:

1️⃣ “Profit Tax” Scam

📌 How the scam works:

• The victim is told that all trading profits are subject to a 32-35% tax.
• To withdraw funds, they must prepay this tax.

📌 How to recognize the scam:

• You never pay taxes through a broker.
• Only your country’s tax authorities handle taxation.
• Regulated brokers either deduct taxes automatically or let clients handle their own taxes.

2️⃣ “International Transfer Fee” Scam

📌 How the scam works:

• The victim is told that cross-border wire transfers require high fees, which must be paid upfront.
• The excuse varies: it could be a “bank processing fee” or “foreign exchange settlement charge.”

📌 How to recognize the scam:

• Legitimate banks deduct fees from the transfer itself, never as an upfront payment.
• If you are asked to pay separately, it’s a scam.

3️⃣ “Insurance Fee” Scam

📌 How the scam works:

• The victim is told that large withdrawals must be insured before processing.
• They are asked to pay 5-10% of the total withdrawal as an “insurance deposit.”
• After making the payment, the scammer disappears.

📌 How to recognize the scam:

• There is no such thing as withdrawal insurance.
• Legitimate brokers never require upfront fees for withdrawals.

4️⃣ “Cash Delivery Fee” Scam

📌 How the scam works:

• The victim is told their money will be delivered in cash via an armored transport service.
• To cover this, they must pay a $3,000 – $5,000 “delivery fee.”
• After the payment, no cash ever arrives.

📌 How to recognize the scam:

• Brokers do not send cash deliveries.
• No real financial institution requires prepayment for withdrawals.

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🔹 How to Protect Yourself from This Scam

🚨 Follow these simple rules:

✅ Never pay “taxes” to a broker – this is always a scam.
✅ Verify your broker’s license – scammers operate without regulation.
✅ Don’t trust so-called “analysts” and managers – their goal is to take your money.
✅ Consult with a lawyer or your local tax authority – if something seems suspicious, get professional advice.

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🔹 Conclusion: Don’t Pay Scammers!

🚨 If someone tells you that you need to prepay taxes for a withdrawal – it’s a scam.

🔥 Ronin Academy warns:
❌ Do not believe in prepayment of taxes!
❌ Do not pay withdrawal fees, insurance fees, or cash delivery charges!
❌ Do not trust analysts who promise easy profits!

 

👉 Stay alert and follow our YouTube channel, where we expose all types of financial scams.