How to make $300k arbitraging credit card points and then pay zero taxes on it

Amex caps the grocery store 6% cash back/rewards on grocery stores at $6,000.

If you go into the comments in the tweet there is a Reddit thread where someone spent 8-12 hours per week for a year maximizing bonuses and got $32k in various perks but only $6,257 in credit card bonuses along with ~$10k in points. So 400-600 hours a year to earn $42k in total points and perks.

This $300k is complete hogwash unless you’re talking about a decade+ of churning, and that’s also incredibly unlikely since most perks are for first time users.

ETA- I found the original tax case that the OP is referencing and it was during an uncapped promotion Amex was running in 2013 and 2014. Not gonna happen today unfortunately.

According to the tax court ruling, he also had to pay taxes on some of the money when he directly bought money orders and/or reloaded prepaid debit cards. I’m not sure how much was generated that way.

Is that article in English? Good lord who edited that pile of crap

The credit card companies also caught on to this trick.

hard to believe he made 300k in CASH BACK?

you realize how much he had to do? to acquire that?

I don't like believe this because the post like keeps going on and on with like no cohesion. Like there are so many things wrong with this like I don't believe it.

Reminds me of one of my buddy’s wife. The summer after her 10th grade year, her dad told her they were going to make her college money. If you will recall, Trilene fishing line has a contest that they would pay $1,000 for ANY world record catch. Well, they spent all summer catching things like the 2 lb, 4 lb and 6 lb line class world record for buffalo carp, and many other obscure records. If I remember correctly, they caught about 20-25 world record fish that summer. Trilene paid them, and then cancelled the program.