Hello, and welcome to this session in which we will discuss gift tax basis. In other words, we need to learn how to compute the tax basis for a gift. Well, what's unique about a gift? Well, you don't pay for a gift. When someone gives you a gift, you don't invest any money in it. They're giving it to you without any consideration in return. You're not paying them anything. So the question becomes, what is your basis in that gift? Is it zero? Well, it cannot be zero. You have to have a basis. Why do you need the basis? Well, let's just make sure we understand why we need the basis. Because when you sell it in the future, you have to compare the amount realized or consideration received versus the basis to find out whether you have a gain or a loss. Also, when you have this asset, you might have to depreciate the asset. Well, I need to know my basis in order to depreciate the asset. Therefore, in this session, we would learn about how to determine your tax basis when you receive a property in a gift transaction. To establish the basis of a gift property, you must know the property adjusted basis to the donor. Who is the donor? The donor is the rich uncle or aunt or grandpa or grandma. So the donor is the person, the generous person that's going to give you the gift. Think of donor as employer and think of the donor as an employee, the person that's receiving the gift. So first, you have to know the adjusted basis. Also, you have to know the fair market value at the time you were giving the gift. And also, you have to know if there's any taxes paid on the property. And we will see why you need to know this. So you need to know three things first. The basis, specifically not the basis, when we say basis adjusted basis, the fair market value when they gave you that gift, and if they paid any taxes on that property. Before we proceed any further, I have a public announcement about my company, farhatlectures.com. Farhat Accounting Lectures is a supplemental educational tool that's going to help you with your CPA exam preparation as well as your accounting courses. My CPA material is aligned with your CPA review course such as Becker, Roger, Wiley, Gleam, Miles. My accounting courses are aligned with your accounting courses broken down by chapter and topics. My resources consist of lectures, multiple choice questions, true-false questions, as well as exercises. Go ahead, start your free trial today, no obligation, no credit card required. Let's take a look at the general rule first, then we'll look a little bit more into the specifics. For gift property, the general rule is the donor basis or the donor adjusted basis is carried over to the donor. So whatever their basis were, the basis will transfer to you. That's the general rule. We're going to see an exception to this. Also, you would increase the basis by the amount of gift tax paid by the donor that's attributable to the increase in the property value. So if this property increased in value and as a result of that increase, the donor paid the tax, well, your basis will be increased by a proportion of that tax. Don't worry, we'll look at an example. Just know if the donor paid taxes, your basis will be increased a little bit. We'll look at an example with numbers. So the general rule applies anytime the fair value of the gift at the time of the gift is equal or greater than the donor basis. So I'm going to, here you have to pay attention. So this general rule that their basis, the donor basis transfer to the donor basis when, when, when, when the gift, when the gift that you gifted has a fair market value greater than the adjusted basis. Let's work an example, just not work an example, give you an example. For example, if someone gave you 100 shares of Apple stock, their basis is $65. That's their basis. And at the time of the gift, the stock price was 95. Well, guess what? That's great. The fair value is greater than the basis. So this general rule would apply. Simply put, they're giving you a gift and that gift already appreciated. It went up in value. So they're not giving you something that lost value. They're giving you something that increased in value. So the fair value is greater than the adjusted basis. So the general rule, let me write it here one more time, the basis to the donor equal to the basis of the donor plus in case the donor paid any tax attributable to the increase in property value, we would look at numbers soon about this example. Let's look at a simple example that we would look at an example with tax implication. John received a piece of land as a gift from his friend Jay. Great. Jay is the generous person. At the time of the gift, the land has an adjusted basis of 45. We know the adjusted basis and the fair market value of 60. Three months later, John sold that land. So when John sold the land, how much profit they would realize? Well, we have to determine what's John's basis. Determine John's basis of the land and the amount recognized from the sale. Well, John's basis, since the land had a fair market value greater than the adjusted basis, John's basis will be the same as Jay, which is how much? 45. Well, so the John's basis in the land is 45. Now John sold it for 65. Well, if you sold it for 65 and you have a basis of, we're considering a basis of 45, guess what? You have a recognized gain of 20. Let's change a scenario a little bit. Assume that Jay paid a gift tax of 5,000. Let's ignore the annual execution for gift. We're not going to get into that. Just if you are told that the donor also paid $5,000 in taxes as a gift tax. Now, you have to understand that portion of that $5,000 is attributed to the increase in the fair market value. So you have to find out of that $5,000 how much is attributed to the fair market value. Think about it. Who's the donor? Jay. When Jay's basis worth 45, when he gifted it, it went up to 60. So there's a $15,000 increase in value. Well, here's what's going to happen. If there's a $15,000 increase in value, we're going to take the increase in value divided by the amount gifted. So we're going to take 65 minus 45. So there was an increase of 15,000 in market value divided by 60. And if we took 15 divided by 60, we need to find this ratio. So simply put, the asset increased by 25% for Jay. Now Jay paid in total 5,000 in taxes. So guess what? Of that 5,025% of it is attributed to the increase in the value. As a result, it's going to give us 1,225. This 1,225 is added to the basis. It's added to the basis. Simply put, the basis is 45 plus 1,220, 1,250. Therefore, John's basis is 46,250. Now, in the real world, this doesn't, this does not happen. They may throw something at you at the CPA exam. I highly doubt it because now, gift taxes, to pay gift taxes, you have to have a lot of money, like millions and millions. Therefore, they don't cast it very heavily. But the point is, you need to know, they might throw you one questions from their database. So know that part of the taxes, will it be increased to the basis in proportion to the increase in the fair value? Just know this. Exception to the general rule. Now, we talked about the general rule. And we said the general rule is when the fair value is greater than the adjusted basis. When the fair value is greater than the adjusted basis, easy. The basis of the donor equal to the basis of the donning. So whatever the basis of the donor was, transferred. Now, when the fair value of the property at the time of the gift is less than the donor basis, now we're looking at fair value of the gift is less than the adjusted basis. The dony basis now, what's the, what's the dony basis? Well, we don't know. It's going to depend on the future selling of the property. And whether the property result in a gain or a loss to the dony. So now we're going to look at the exception. It's very simple rules. I'm going to show you the rules. Please follow with me. This following rule prevent taxpayer from shifting losses among family members to friend who received the greatest benefit gift. So simply put what happened is, if you have a loss, what you do is you give that property to someone who needs the loss and they will benefit from it. That's what they want to avoid. If the property, if the property is subsequently sold at a price lower than the fair value. So now they donated the property that's lower than the the fair value is lower than the adjusted basis. Now, if later on the dony sold that property lower than the fair value, well, then the fair value is the basis. So in other words, the last basis is the basis fair market value at the time of the gift. So it becomes the basis becomes the fair value. Simply put, let me show you a line. Let's assume we have a line here. We have the basis. Okay. And now when we gifted this, when we gave the gift, gift was the fair market value was below the fair market value was below the basis. Now what you did is you sold the dony sold the big sold the asset below the fair market value, whatever that number is, even below. And what's what's going to happen, your basis becomes the fair market value, your basis becomes the fair market value. So if the selling price is less than the fair market value, use the fair market value. Okay, now let's change the scenario. Same thing. Some a donor gifted the property with a fair market value less than the adjusted basis. Now when the dony, let's see what what situation of the property subsequently sold for for a price higher than the dony. Now the dony waited on that property and the property went up in value. So now it's above the basis. Remember, they donated it at fair value. It was below basis. Now when they sold it, it was above the basis. What do we use as the basis? Guess what? The basis. Notice it's the line that's closest to you. Notice when you sold it below fair value, fair market value was the line closest to you. When you sold it above basis, the basis is the line to you. So in other words, the gain basis is the donor basis as the time of the gift. It's the basis. So if the selling price is greater than the adjusted basis, use the adjusted basis as the basis. Now the third scenario is what? What do you think the third scenario is? What if the dony sold the asset? Let me change a different color with a different color. Sold the sold this gifted property here someplace between the basis and the fair value. Well, good news. Guess what? There is no gain and no loss under those circumstances. So if you sold it for whatever the price you sold it for, we're going to look at numbers. The basis will be equal to that price. Therefore, if the property subsequently sold by the dony at a price between the donor basis and the fair value, the dony uses the selling price as the basis. Well, if the selling price is the basis, selling price equal the basis. So if I said my selling price is 10,000 and my basis is 10,000, I have no gain and no loss. Use the selling price as the basis. Now it's better to work with numbers. We'll work with numbers. Don't worry about this. Now let's talk about the depreciation basis. It's important to know that the dony's basis for the gifted property, for the depreciation basis, is always the lesser of, for the depreciation purpose, the adjusted basis, the donor's adjusted basis, or the fair value of the property received at the time of the gift, the lower of these two. Don't worry. We're going to look at numbers and we'll see how it works. Jimmy received the car on his birthday as his birthday gift from his friend, generous friend. At the time of the gift, the car had an adjusted basis of 25. So we have an adjusted basis equal to 25K and the fair market value of 21. So now we need the exception rule because the fair value was less than the adjusted basis. After five months, Jimmy decided to sell the car to unrelated party. Now just forget about it. It doesn't have to be car or anything. Think of this as stocks because car is, you know, some people confuse a personal property. They gave you 25,000, 21,000 worth of stocks with an adjusted basis of 21, just because I don't want to confuse you with personal property. After five months, Jimmy decided to sell the car or the stocks to unrelated party, determine the basis for the car or for the asset. Well, if he sells the car for 19, let's go back and show you what I showed you earlier, that line. Remember the line that I showed you, I said we have the basis and here we have numbers. The basis is 25,000. The fair value, the fair value was 21. Now we sold the car at 19. What are we going to be considering the basis? You guessed it, the fair value. It's the closest thing to the basis. If we sold the car for 23, if we sold the car for 23, right here, no gain and no loss, whatever the car, the stocks, the asset, if we sold the asset for 25,500, which is here, the basis will be 25. So that's the solution. Now we can look at it. At the time of the gift, the car had a fair value of 21, which is less than the donors. Therefore, the car depends on the future selling price. If Jimmy sold the car for 19, lower than the fair value, then the fair value will be the basis and we would incur a loss. If we would incur a loss of 2000, which I already told you this. If the car was sold for 23, it's in between. Therefore, we would have no gain and no loss. If Jimmy sells the car or the asset or the stocks for 25,500, it's above the basis. Well, guess what?  And as a result, we will have a gain of 500. Now let's talk about the holding period of a gift. We need to know what's the holding period, because that's going to determine whether we have a long-term or a short-term gain or loss. The donate holding period for the gift property is determined as follow. Let's follow. When the donor adjusted basis is carried over to the donate, the holding period for the donate is considered to have started with the donor. So remember, if we have the general rule, donor basis equal to the donate basis, then also the holding period starts with the donor, whatever the donor holding period was. And the holding period could be, the donor could have bought this asset the stock a long time ago or recently. It doesn't matter. The donor holding period will transfer. When the fair value of the property at the time of the gift determines the donor's basis, the donate holding period start at the day after the property was gifted. If we're using the fair market value of the property at the time of the gift, then we have the, then the holding period start the day after the property was gifted. So it's a different rule when the fair value of the property at the time of the gift determine the donor basis. So if the fair value is the basis, then the holding period start the day after the property was gifted. When the subsequent selling price of the property determines, when the subsequent selling price of the property determined the Donis basis, the holding period is irrelevant because the Donis recognized no gain and no loss for the sale of the transaction. Again, let's take a look at an example. On June 17, Alex received a property valued at 9,500 as a gift. Bob acquired the property 20x1. At the time of the gift, Bob's basis of the property is 12,000. So we have the basis of 12. At the time of the gift, again we're dealing with the exception rule 9.5,000. Bob's basis in the property is 12, and Alex sold the property at 413,000. So Alex sold the property right here. Alex sold the property at 13,000. Well, if Alex sold the property for 13,000, the basis is 12, determine Alex's basis for the gifted property and the amount and the nature of the gain. Well, at the time of the gift, the property had a fair value 9,000, which is lower than the 12, which is, we have the exception. Alex's basis depend on the property future selling price, given that the Alex sold the property for 13, Bob's basis to the property to Alex who would recognize a gain of 1,000, which is the difference between 13 and 12. He sold it at 13. There's a $1,000 gain. In addition, the holding period starts March 12, 20x1 on the date which Bob acquired the property because we're using the basis. As a result, the gain recognized as long term as the property was held more than a year. Remember x1 to x5, then sold it in x6. So the original basis is March 12x1, which is long term. Assume now that the property was sold for 8,000. Okay, let's go back and draw the scenario here. We have, let's look at the numbers basis of 12. The basis were 12. The fair market value was 9 at the time of the gift. Now we sold it at 8. Now we sold it at 8. Okay, so that's what happened. Alex sold the property for 8, which is less than the fair market value at the time of the gift. The fair value of the property at the time of the gift determines Alex's basis. So the fair market value is the basis. Accordingly, Alex should recognize a loss because it's the closest to the, the closest line is fair market value, a loss of $1,500. Alex holding period for the property start on the day after the date was gifted, which is June 18, 20x5, because it was gifted June 17, June 18, the holding period start. June 18, 20x5, it was sold, when was it sold? I believe in 2006, what, when was it sold? Sold May 14 towards less than a year. We're looking at short term here. We're looking at short term because it was sold in May 14, 20x6. So this is basically a good explanation of the gift tax. What should you do now? Whether you are a CPA candidate, EA candidate, or an accounting students go to Farhat lectures and work MCQs that's going to help you reinforce. You need to be tested about this. Invest in yourself, invest your time to get this under control so you will do better on the exam. Study hard. The CPA exam is worth it.


Live from Anaheim, California. It's theCUBE, covering Nutanix.next 2019. Brought to you by Nutanix. Welcome back everyone to theCUBE's live coverage of Nutanix.next here in Anaheim, California. I'm your host, Rebecca Knight, along with my co-host, John Furrier. We have two guests for this next segment. We have Stephanie Skiraldi. She is the Director of IT Operations and Support for Electra. Thank you so much for coming on theCUBE, Stephanie. And we have James Illari, Director, IT Innovation and Governance at Electra. Thank you, James. Thanks for having us. So I want to start with you, James. Tell our viewers a little bit about Electra, it's Ontario-based. For our viewers who are not familiar, what do you do? What are you about? So we are a energy solutions provider in Ontario, Canada. Basically, we are an LDC, a local distribution company. But we're trying to transition from the poles and wires into a really energy solutions provider. We're about a million customers or approaching a million customers right now. And we are actually four utility companies that came together to form Electra. And we just recently merged with a fifth now. So we're rapidly growing in Ontario. And we have very much more growth to come. So all those mergers, how does IT all fit together? Different systems, they're all kind of legacy. Mishmash, what's the environment like? So the environment right now, there is a tremendous amount of data centers. Stephanie is actually leading our data center consolidation project. There are a tremendous amount of data centers across a fast geographical location. And we're using Nutanix actually to consolidate everything onto a single platform right now. So there's a lot of work to be done. Definitely a lot of integration to be done. But we're confident that we'll get it all done and we want to move to the Nutanix platform. Yeah, so right now we have about, I think it's about 11 data centers and we've been mandated to get down to two. So we're utilizing technologies like Nutanix to kind of get down and scale abilities. So yeah. We hear from a lot of customers from Nutanix around how it's been a great system for manageability. And also getting rid of some older gear, whether it's old EMC, some Dell stuff. So we're seeing a lot of, going from 24 racks to six. This is kind of the ratios. Pushing stuff from eight weeks to two hours. New operational benefits. How close are you guys to that now? Because you get all this stuff you're consolidating down for the mergers. Makes a lot of sense. What's some of the operational benefits you're seeing with Nutanix that you can share? I think it's a perfect example that you just gave. We're working on a front office consolidation project and we're doubling our VDI environment. And we actually just got three new nodes in a few weeks ago. And it took a matter of two hours to get everything spun up and ready. So traditionally it would take us weeks of planning and getting someone in and specialized technicians and now make a phone call a few hours and it's done. So you see already the benefits of growing our infrastructure and it's enabling us to merge faster with different utilities. I want to actually back up now and talk about the journey to Nutanix and talk about life before Nutanix and now life after it. What were sort of the problems that you were trying to solve and why was Nutanix the answer? So I can speak to that. If way back in 2015 we were looking at VDI and we were implementing it across our organization. And we were running into issues on three tiered architecture where whenever there was a performance issue we would talk to the sand guy and we would talk to the server guy and we'd talk to the networking guy and although everyone's trying to help everyone's sort of looking at each other saying okay where does this problem really land? And the issue with that is as you guys know with VDI I mean user performance and user experience is key, right? That's king. So when you're trying to take away someone's physical desktop and give them a virtual desktop they want the same or better performance. And anytime we had an issue we had to resolve it rapidly. So when we looked at everything we said okay this is okay but it's not sustainable for the scalability and the growth that we have. Especially because with a VDI environment it scales very rapidly. And if the application scales rapidly you need the infrastructure to scale as rapidly as your application. And perform just as good. So what happened was we looked at Nutanix and we said you know what? If we can look at a single pane of glass to figure out where any performance issues lie that makes operations of management and administration much easier for us. And that's really where we started our journey with Nutanix. We went from a three node cluster to start and we're up to 14 nodes now. Just in our VDI cluster alone. And what about the future? What does the future hold in terms of this partnership? I think for us we're really hoping to go to fully AHV in the next six to 12 months. I know James we're really pushing it and trying to get that in because you know we want to simplify our technologies and I think by moving to AHV I think you know we'll save some money. Yeah. So what we're looking to do with Nutanix there's been a lot of wins for us moving to Nutanix especially with regards to support. Support's been fantastic. I mean you know although we don't like to call support because that means something's probably wrong we love calling you guys because every time we call support it's you know everyone's always there to help and not only the support from the support team but also through our. Vendors. Through our vendor our accounts you know IVOR who we love. Is that our camera? Yeah. You know we love the whole team because they're there for you to help. I mean we've run into some pretty significant issues one of the things that happened to us was we had some changing workloads in our VDI environment. Through no fault of Nutanix is you know when we introduced some additional workloads we didn't anticipate some of the challenges that would come along with introducing those workloads and what happened was we filled up our hot storage rather rapidly. Nutanix came in right away because we called them up and said you know we're having big performance issues we need some help and they brought in POC nodes to help us get over the hump. They were there for us. I mean within a week they got us right back up and running and fully operational and even better performance than we had before. So until we can get our own nodes procured and in-house which was fantastic. I've never seen that level of support from another organization. So we love the support from Nutanix and since then we've grown. So we've actually looked at Nutanix for our general server compute platform as well. And we're doing cross hypervisor support or cross hypervisor replication sorry from production to DR. So we're actually running Acropolis in DR running VMware in production but as Stephanie alluded to we were trying to get off VMware completely. You know everyone talks about the V-tax. We don't like the V-tax. We don't want to pay VMware for something that's commodity. And we're looking to repurpose that money so we can look at other things such as Nutanix XI. We very much want to move to the cloud for DR and that's sort of our direction. Okay so you guys have VMware now not you're not yet off VMware but you plan to be? Yes. You plan to be yes. Okay so what's that going to look like? How long is that going to take or what is that? We're really hoping the next six to 12 months. So I think we're really going to push hard. We've been talking to some people and it seems like it's going to be a pretty smooth transition so we're looking forward to it and I think our team is really looking forward to it as well. That's one of the challenges right? The team is really is one of the challenges because we've merged and there's a lot of change going on in our organization. It's difficult to throw more change at people right? There's a whole human component to everything that we do. So you know well that's why we moved HV into DR to start because we said you know what give the operations folks time to look at it, time to play with it, time to get familiar with it and then we'll make the change in production but like we said you know moving over to HV is going to save us a ton of money. Like a ton of money that we can repurpose elsewhere to really start moving the business forward. So you talk about IT operations for a second because one of the things you were talking about earlier is that the consolidation you're leading that project to get the VDI thing with new workloads there's always going to be problems always speed bumps and hot spots as they say in IT but what IT ops has changed with the advent of software and DevOps and automation starts to come into it. How do you see that playing out because Nutanix is a software company. So you guys knew them when they were five years ago to now but this is the trend in IT operations to have clean programmability for the infrastructure. What's your view on that? What's your reaction to that? And are you guys getting there? Is that the goal? So that is like a part of our roadmap and we're going to be working with our Nutanix partners to build a roadmap actually in the next coming few weeks. So because we are merging all these utilities we'd love to get to automation and orchestration and we actually have it in a budget in three years. So it is on our roadmap. We want to get there, right? Because we want to have our staff work on business strategy. We don't want their fingers to keyboards. We want them actually working with the business and solutioning and not changing tapes or working on supporting a system when we don't have to do that anymore because now it's so much simpler running a Nutanix environment. I know James was saying a lot of change for employees are used to VMware and Nutanix is new to a lot of them. I think they're quickly seeing the benefit of managing it because now they get to do things that are a little bit more fun than just managing an environment. Yeah, and there's this point about cost too. You can repurpose what you're paying for a commodity to get that for free. And if you can repurpose and automate a way that manual labor that's boring and repetitive move people to higher value activities. Exactly. And we love the message we heard today about being invisible. Yeah, I love that. We love it. I mean, that's essentially what we want to do. The business doesn't really care what you're doing behind the scenes, right? They just want their applications to work. They want everything to work seamlessly. So that's what we want to get to. We want to get to that invisibility where we're moving the business forward and enabling them through technology, but they don't need to worry about the backend and what's actually going on. Stephanie, I want to ask you about both a personal and professional passion of yours. And that is about bringing more women into technology. You are a senior woman in technology and we know the numbers. There is a dearth of female leaders. There is a dearth of underrepresented minorities, particularly in high level management roles. So I want to hear from you, both from a personal standpoint in terms of what your thoughts are on this problem and why we have this problem. And then also what you and Electra are doing to remedy it. Yeah, I think, you know, I'm really lucky to work at Electra because we actually have a diversity and inclusion committee that I'm part of. We're with a lot of STEM organizations, but I think, you know, there's all these great programs going on and but I still don't see enough women in this industry and I think a lot of it stems from, you walk into a room and if you're the only one of you, it's really intimidating. So I think we really need to work on making people feel more welcome, you know, getting more women in senior leadership positions and kind of bringing them to events like this, getting them on the internet, going to the universities, going to the schools and talking to education and talking to, you know, CIOs and CEOs that don't have C-level women executives and saying, you know, there's a business benefit to having diversity of all kinds in an organization, you know, you know, strength lies in differences, not in similarities. And I think we can really grow businesses and have that value if we have different types of opinions. And I think there's, you know, statistics shows when you have more diversity, your business is more successful. So I think senior leaders should pay attention and, you know, purposely try to hire more, a more diverse workforce. And do you have anything to add to that? I mean, I know that it's maybe tougher for a man to weigh in on this issue, but at the same time, it is one that affects all of us. Absolutely. And I think Stephanie said it best, right? When you bring in, you know, multiple people from different ethnicities, from different genders, I mean, it's that wealth of knowledge that everyone brings from the different experiences they have in life. And I think that's what you need. You don't want, you know, the collective all thinking the same way. You want the collective that brings the diversity into your organization. And I think, you know, when I was in school, we had one woman in my entire computer engineering class. And, you know, that, you wanted to see that change, right? I'd love to see more ethnicities, more women being in the workforce, especially within technology. I think that's, it's fantastic for technology. Stephanie, what's your advice for young girls out there, maybe in high school and college, who are, have a gravitating towards either computer science or some sort of STEM related field that might be intimidated? I think one important thing you can do is like really rely on your family and friends for encouragement, because I think sometimes it is going to be intimidating. You know, for me, I'd walk into a course and I was the only female in my computer networking class, but I had like my father always encouraged me to push me to say, like, don't ever be intimidated, don't ever be scared. You need a little bit of a thick skin because for a little bit, it is going to be just you in a room. But I think the more you speak up and the more you just kind of push yourself, I think it is going to get better. And I think it's almost kind of cool when you're the only female, because you feel that pride to, I want to do better. I want to do better for all of us to say like we can be not just as good, even better. Great, so. Great advice. Yeah. Stephanie, James, thank you both so much for coming on. Thanks for having us. Pleasure talking to you. Thanks. Rebecca Knight for John Furrier. We will have so much more of Nutanix.next coming up in just a little bit.


Welcome folks, this is Tom O'Brien of TFNN. We have five days a week, we go seven hours a day, we go 24 hours a day on the internet at tfnn.com. Always remember folks, whatever you think about, you bring about whatever you focus on, grow so everyone's having a great day, safe day. It's making a great night, folks. To begin, a great relationship, know what you want.  There are millions of men and women and some will make a good match for you and others won't. The two of you only need to be like a key and a lock, a match that works. Make it wise, let's take a look at it out here. We have the Dow Industries right now trading down 503.  With Silver down 9 cents, $23.25 an ounce, LightSuite crew up 26 cents, trading at 89.93. You get the notes and bonds. Ten-year note, down a full point plus one tick, 125.22, 30-year bond down a full point plus 26 ticks. And remember, there's 32 ticks in a point, folks. You're at 150.15 and $king dollar. King dollar is up 42 ticks, trading 95, 536. Euro is at 114. Yen is at 115.95 and the British pound is at 135 to one U.S. dollar. iPhone number is<PHONE_NUMBER>. Give us a call, folks. Want to know what's going on in your world and the world of the S&P's. Let's take a look at them. Let's bring up the futures and see where we're going to go this last hour, folks. We have had a heck of a day out here. Bottom line, you had the hot CPI come out. I don't know why they even said it's hot. I mean, it committed 7.5%, you know. We're running months and numbers out here in the CPI, folks, okay? What is really evident right now, for sure, is that market participants definitely don't really understand the bond market. And I can see why, actually, because, you know, when I look back, that the last time that we really had inflation, there's not a lot of participants that were around when we had inflation. You know, so the bottom line is that these rates are going to go up and they're going to go up a lot further than the market thinks right now.  And then, now the rap is that, okay, that the supply chain is, you know, maybe coming down a little and all the citizens are not going to buy as many goods. They're going to go to services. Well, guess what, folks? Services are going up, too. Everything's going up. Why? Because everyone needs more money. It's that simple. Inflation is in the economy in a monster way. Okay, now let's go take a look at this S&P. So, let's see what we got here. Okay, so we open, we get that first leg down, goes to 4512. Then we came all the way back up, almost hit the high, and then gave it up again in spade. So let's see what we got right now. So, last time, well, there we go. Okay, so here's double good news, 4532. We're at 4509. You can see 4532 before the close. When you look at the scene, when you look at this 10-bar, 10-minute bar, you came down, we came down, that bar there has 94,000. You came into it with 30, with 50,000. That's not enough. And when you take out a bar, you have that much contraction and volume, folks. That's a spike lower. Markets love to spike lower and spike higher. After they do that, they clean the market out and how you go. And where I'm going with how you go is the last place that we had volume on the way down, and that's 4532. So, that's just 20 points higher. So, we'll see if the S&P's down like 44 bucks by the time we finish out here. That's on your EAS mini. NDX 100. We take a look at the NDX. That's trading down 282 right now. Let's see what she's doing. Okay, so, oh, this is nice. Okay, so, first leg down, get that there. Okay, first leg down, we get to 14721. 41,000 we broke out. We committed that with 17. We committed that with 14. Same deal. Okay, so, NDX, here's the number. Right there. NDX was at 14,813. So, that's 41 points higher. We'll see how this all things shakes out. Gold, gold contract out here, did exactly what the market did, came down first, came down to 1821, as soon as that number come out, went back top side to 1843. Right now, you're laying out here at 1830. What I like about this, okay, bottom line, we finally got volume in the market, in the gold market, and what you have, the question would be like, hold it, man, you haven't gone anywhere. Well, we actually have gone somewhere, folks, okay. You got over the highs, and we have volume. That's what you're looking for. That's what I'm always looking for. If we go to the good old King Dollar, we take a look at King Dollar, what you're gonna see with King Dollar out here. King Dollar right now is down, is up 36, but you can see King Dollar made it all the way to 96. 602, couldn't hold price. This is telling me that we got a nice, big ABC structure on the way down. This is gonna be really intriguing how this baby comes, because I expect that you are gonna see these rates go higher and faster than people think. That being said, the bottom line is that it's not the end of the world. It will be and things are gonna be more expensive if in fact you are borrowing money. There's no two ways about that. Now let's go take a look at the generic 10-year. The reason I wanna do the generic, this one ends up happening, folks, okay, is that this way we can pull this back and we can see where this 10-year wants to go, because there's two different areas that I was looking at out here, the 10-year. The first area looks to me, the probability is pretty valid. It's an ABC structure down to 124, but remember many times that I talk about that markets don't stop in the middle of staircases, folks, okay? So that's telling me, guess what, man, you're going down to 117 here. It's gonna be a big number on the way down. So it's gonna have support at 122, but 117 is game, that's the bottom line. 117 is game inside of that 10-year. Right now it's 2.02, and we'll see. And the Fed, bottom line, I can't understand why actually that folks actually think that you can get rid of inflation so quick. I mean, it doesn't just disappear. Stay right there, folks, come right back.


When Jesus was being questioned by the high priest, he asked him a crucial question. Are you the Christ, the Son of the Most Blessed? And Jesus said, I am, and you will see the Son of Man seated at the right hand of power and coming with the clouds of heaven. Then the priest tore his robe.  Revelation echoes the same thing. Behold, he is coming with the clouds, and every eye will see him, even those who pierced him, and all the tribes of the earth will wail on account of him. When Jesus came the first time, he came not to condemn the world, but that the world would be saved through him. But when he returns, he will come in judgment. I think of the Roman Centurion when after seeing the earthquake that happened after Jesus' death proclaimed, surely this is the Son of God. One day, every person will proclaim the same thing. Some will cry it out in regret and fear, but those who are in Christ will proclaim it with great delight for their king has returned.


Hello, it's Waylon Chow, and welcome to Forms of Business Organization, Module 5, Part A. In this part, we will do an overview of the three basic forms of business organization, and then focus in detail on the sole proprietorship. In this module, we will look at the three basic forms of business organization. The most basic one is the sole proprietorship, and then we'll look at the partnership and the various different types of partnership, which are the general partnership, the limited partnership, and the limited liability partnership. And the last type of form of business organization that we'll look at is the corporation, or specifically business corporations. There are other types of corporations, such as non-shared capital corporations, which are used by not-for-profit or charitable organizations. We won't look at those, but we'll focus on only business corporations. Let's now do a high-level overview of those three basic types of business organizations. So let's have a look first at the sole proprietorship. The simple legal definition of sole proprietorship is one individual carrying on business alone. We have one owner carrying on business. So here's our sole proprietor right there, and our business is represented by this happy face. And this business has various dealings with outside third parties, such as customers, suppliers, or employees that it hires, various levels of government, including a Canada revenue agency. So the business, like any other business, has dealings with outside third parties. Now the key legal aspect of a sole proprietorship is that the owner and the business are legally considered to be one and the same. So we'll talk about this in further detail a little later. But if, for example, if the business owes money, because the owner and the business are one and the same, it's the owner that personally owes that money. Let's now have a look at the partnership. A partnership is considered to be one or more persons carrying on a business in common with a viewed profit. Legally speaking, it's considered to be a relationship and not a separate legal entity. So let's have a look. These are the two partners here. So they get together to carry on the business. So that is called a partnership. The partnership has dealings with outside third parties, such as customers, suppliers, employees, governments, and CRA. And the key legal aspect of a partnership, just like with a sole proprietorship, is that the owners and the business are considered to be one and the same legally. So if the partnership owes money to someone, the partners themselves also personally owe that money. And now the corporation. A corporation is created by incorporating something called a corporation under a statute that's been created by either the federal parliament or a provincial legislature. A corporation is considered to be on its own a legal person that's separate from its shareholders. So the owners are called shareholders. So it can be either one person or an unlimited number of people. In our example here, we have two shareholders. The two shareholders own shares in this separate legal person that's called the corporation. The corporation as a separate legal person has dealings with outside third parties. So again, the shareholders are the owners. The business resides within this corporation, which is a separate legal person. So the key legal aspect is that the owners and the business are separate. That's what makes a corporation very different from either a sole proprietorship or a partnership. Here is a map of the different forms of business organization that we will be covering. For each of them, we will look at how it is formed, the key legal aspects, the financing of the business organization, the tax treatment, and also how is it dissolved, the dissolution. The first type that we will be covering is sole proprietorships. How is a sole proprietorship formed? All it takes is one person starting the carrying on of a business. And there you are. There's a sole proprietorship. There are no formalities that have to be completed to legally create the sole proprietorship. In other words, there are no forms to fill out, no registration to be done, and no fees to be paid to legally create the sole proprietorship. All it takes is that one person carrying on the business. However, there may be some formalities that are required to actually operate the business of the sole proprietorship. So these formalities could include getting a municipal business license and registering the business name. Consequently, it is very easy and inexpensive to get started as a sole proprietor as compared to a partnership and a corporation especially. A scenario that we will be working with throughout this module is called Lucy's Lemonade, which involves a little girl named Lucy who starts up a lemonade business. So we'll see her lemonade business evolve from being a sole proprietorship all the way to being a public corporation. So the basic scenario starts with Lucy deciding to sell lemonade in front of her house. So she sets up a little stand and makes a little sign offering lemonade for sale for 25 cents a cup. So what she's done is she has created a sole proprietorship. The two key legal aspects of a sole proprietorship are that the owner and the business are considered to be one and the same, and that there is unlimited personal liability on the part of the owner or sole proprietor. The key legal aspect of a sole proprietorship, which I have mentioned before, is that the owner or in other words the sole proprietor and the business are one and the same. So that big concept has many different consequences. One consequence is that all profits and losses of the business belong to the sole proprietor, and that has a secondary consequence in terms of how a sole proprietorship is taxed, which we will discuss a little later on. Another consequence flowing from the concept that the owner and the business are one and the same is that the sole proprietor is personally responsible for all of the legal obligations of the business, including all the contracts entered into in the course of the business, and any torts that are committed in the course of the business by either the sole proprietor or any employee of the sole proprietorship. If you remember when we dealt with torts, the concept of vicarious liability, the employer can be vicariously liable for torts committed by an employee in the course of their employment, and also tax liabilities. If the business owes tax, then the owner, being the sole proprietor, is the one that is actually responsible or liable for that tax. Because the owner and the business are one and the same, the sole proprietor, the owner, has what we call unlimited personal liability, and that's a huge disadvantage when operating using a sole proprietorship. What unlimited personal liability means is that since all of the business obligations are the personal obligations of the sole proprietor, all of the sole proprietor's assets, whether they be business assets or personal assets, are at risk from claims by business creditors. So if a business supplier sues the business, the sole proprietor is personally liable for that debt to the business supplier. The supplier can obtain a judgment from a court and enforce that judgment by seizing the assets of the sole proprietor, and those assets that could be seized are not just the assets that are used in the business, but can include any of the sole proprietor's personal assets such as a house or a car or anything that's owned personally by the sole proprietor. So Lucy, in her lemonade business, she has decided to hire her little sister Marcy to help her with the lemonade stand. She pays Marcy 25 cents per hour. Marcy makes a batch of lemonade, but mistakenly mixes in some powdered detergent instead of sugar. Lucy sells a cup of this lemonade to Charlie. Charlie drinks it and becomes so ill that he has to be hospitalized. He does thank goodness recover, but once he's recovered, he sues Lucy for damages of $100,000. So is Lucy liable to Charlie since it was Marcy that put the detergent in the lemonade? So please pause the video so you can consider this question. Lucy is personally liable as the sole proprietor. Lucy is liable because she is vicariously responsible for the negligence tort that was committed by her employee Marcy. So because of vicariously liable and because Lucy is the sole proprietor, she is personally liable for the $100,000 of damages that may be owed to Charlie if he's successful in his lawsuit. So let's say Charlie wins that lawsuit and obtains a judgment of $100,000 against Lucy. The business assets of Lucy's lemonade consists of just a few pitchers and utensils worth $20, some inventory, which is bottles of lemon juice worth $15, and two folding chairs worth $3 and no cash. But also Lucy has a personal bank account with a balance of $5,000 that she is saving for a university. So the question here is if Lucy cannot pay the $100,000 judgment, what assets can Charlie go after to satisfy the judgment? Please pause the video at this point so you can consider this question. Charlie can go after any or all of Lucy's business assets and personal assets including the cash in the bank account. So that has to do with the fact that the owner and the business for a sole proprietorship is one of the same. Lucy is personally responsible and she has unlimited personal liability for the debts of the business. Where does the financing for a sole proprietorship come from? Since there is only one owner, the capital for the business has to come from the sole proprietor. Now where does the sole proprietor get the capital from? So one source is from savings. Another source is to sell or contribute assets that he or she already owns. The sole proprietor may also borrow money from a lender which could include a bank or friends and family. For example, the sole proprietor may already own a house that they live in. So they could get a mortgage against that house to get a loan from the bank. How is a sole proprietorship tax? So let's remember our key legal aspect being that the owner and the business are one and the same. So that means that any business income or business losses belong to the sole proprietor. So if there are business profits, they are considered to be the personal income of the sole proprietor and get reported on the sole proprietor's personal income tax return and are subjected to the personal tax rates that apply to the sole proprietor. And in Canada, those personal tax rates sometimes could be higher than rates that would apply to income earned by a corporation. So that is considered to be generally a disadvantage of being a sole proprietorship. An advantage, however, is when the sole proprietorship has business losses. Those losses, just like the profits, belong to the sole proprietor and they get reported on the sole proprietor's personal income tax return. But it's an advantage from a tax standpoint because those business losses can be used on that tax return to reduce other personal income of the sole proprietor. So the effect is that the net income of the sole proprietor is reduced by those business losses and the less net income you have on your income tax return, the less tax you pay. So the usual strategy that many businesses use is that when they start up, most new businesses expect to have a loss in their first few years, in their startup years. So it's usually beneficial, from a tax standpoint at least, during those first few startup years to operate the business as either a sole proprietorship or a partnership. And we'll talk later on that partnership has this same tax advantage. So in those startup years, we operate the business as sole proprietorship or partnership so that the owners of the business are able to claim the business losses on their personal tax returns. And then once the business starts earning a profit, we can easily convert the business from either a sole proprietorship or a partnership into a corporation to take advantage of lower corporate income tax rates and other various tax advantages. Since a sole proprietorship is not a separate legal entity, when the sole proprietor dies, the sole proprietorship comes to an end. It cannot go beyond the death of the one owner. Any business assets or liabilities that exist at the time of the death of the sole proprietor get automatically passed on to the estate of the sole proprietor. The estate will take care of paying those liabilities and any other liabilities that the sole proprietor had at the time of his or her death. And if there are any assets remaining after those debts are paid, those assets will pass or be transferred to the people named in the will of the sole proprietor.


Hello and let's talk about the Rajiv Gandhi Kheil Ratna Awards. These awards along with the Arjuna Awards and the Dronacharya Awards were announced on Saturday. This year has been unique when it comes to these awards as for the first time five sports persons were awarded the Rajiv Gandhi Kheil Ratna Award. That's the highest honour awarded to a sports person in the country. These are cricket player Role Sharma, table tennis player Manika Batra, Indian women's hockey captain Rani Rampal and team Mariapan who is a Paralympian along with wrestler Vinesh Fogat. The same happened with the Arjuna Awards too with 27 sports persons receiving the coveted award. 13 coaches have been presented with the Dronacharya Award, eight of whom have won it in the lifetime achievement category. This is despite the rules stating that except in exceptional circumstances, only one sports person would be conferred with the Rajiv Gandhi Kheil Ratna Award and 15 would get the Arjuna Award. These announcements are left to sporting fraternity and sports watches a bit puzzled and even bemused, with questions being raised as to what this implies for the award system itself. We talk in news clicks Leslie Xavier on this issue. Leslie, thank you for joining us. So the Rajiv Gandhi Kheil Ratna Arjuna Dronacharya awardees have been named and it's quite a big list this time. So there's been a lot of commentary about that of course and these are some of the most important awards in Indian sport. So do you see how do you first of all, how do you see this huge number of Canada awardees who have been given this award especially at this time? It's unprecedented. Circumstances are happening around the world. So unprecedented list of awardees. So I one can't, I mean, possibly find a logic to this because as we know it's a year where there's no sporting action at all. But yeah, let's give the benefit of the doubt that awards are decided not by this year's performance alone, but the previous two years that's the criteria set by the Arjuna award rules as well as the Rajiv Gandhi Kheil Ratna rules. But the point is that there are certain rules that have been stipulated as far as the number of athletes who can be considered for the award every year and in Kheil Ratna the rule is pretty straightforward. Every year one awardee because it's considered the top most award of the country. So one award unless there is unprecedented circumstances like for instance an Olympic year where just before the awards if three, four athletes have won Olympic medals obviously they all deserve Kheil Ratna. So that happened in 2016, four athletes were considered and this is say Olympic year as well, but Olympics haven't happened and the award list also is questionable that way. The presence of certain athletes in it, for instance someone like Manika Bhatla whose performance, whose the award has been given based based on her victories in the Commonwealth Games. With all this due respect to the victories and the medals won, it's also very clear that Commonwealth Games is not exactly the pinnacle of, I mean standard-wise it's not exactly the pinnacle in table tennis. So she would have been a, I mean much more of a bigger name in table tennis world at she won a medal, just a medal not even gold in the Asian Games. So there are hierarchies in sport as well. So I mean rather than get into the eligibility of these athletes because it's a given that all these athletes are international athletes and they have at some point won certain medals at the Asian level, at the Commonwealth level, regardless of what over the quality of the shield as such. But when a criteria is set for the number of awards to be given and also when we are considering these to be the most sought-after awards for sports persons in the country, Dronacharya, it adds a mythical proportions attached to it. We were all in awe when we were sports persons ourselves. We would look up to people who have won Dronacharya, I mean Arjun Awad and Kerala Ratna came in later. So by diluting its quality that way by giving, I mean I know applications might have come, I know committee might have deliberated all of that. We will get into the deliberation part of it later in this conversation. But still if there is a set criteria that per year only one award for Kerala Ratna and up to 15 which has been relaxed up to 17 till previous years but right now it's 27 Arjun Awad, that's too much. And it just kills the the stature of the award. It dilutes it. I mean much like many of the institutions that has been whose stature has been killed by the current disposition, this also is going that way. Right. So could we talk a bit about what the procedure is usually, how does it happen, was it any different this year and how does this whole system work during the time of the pandemic? So the usual case it's the federations that nominate at least for the Arjun Awad and the Kerala Ratna. So they are their own internal mechanisms how they decide which athlete to push for the Arjun Awad, nominate for the Arjun Awad. Of course there is a sidetrack to it about political push that happens. I mean the ruling government if you have people who can back you then there is a sure short case that you might win the award. So it's all this thing but general set procedure is that the Federation nominates you which is your application and then there is a Arjun Awad committee and Kerala Ratna committee which is convened and they elaborate over the list and then they shortlist it and then the final award is approved. The committee members come from various fields. I mean sports persons, former sports persons are there, administrators are there, of course the ministry officials and the sports minister presides over all these things and at the same time media persons are also there, sports journalists are also part of it. Now it's a different question whether sports journalists have a say in it on a larger sense because you are sitting with former sports persons and administrations so they but still their voice will also be heard I'm sure and so but the nomination procedure is where the trick happens. It's there is a lot of politics in the in the sports organizations in the country so if you are on the wrong side of the of the Federation as an athlete your name will never get pushed and in that regard there have been a couple of names which have been which is I mean which makes me happy that they have finally got their due in this year's list and they got their due because there was a slight change in the procedure this time around apart from the Federation's nominations this year because of pandemic and the restrictions that it brought out. Self nominations were allowed so many athletes push their own applications themselves and so a couple of them come to my mind immediately one is Sivakesh when the Winter Olympian he is listed for as you know about this year his prime was around 10 years back where he was Asian champion and he has been an Olympian on multiple occasions and on multiple occasions the only athlete to compete in Winter Olympics from India that so he's pretty famous in the Winter Olympics world but not exactly a household name in India and he always had problems with the Federation he always used to call them out for lack of support and lack of initiatives to improve the stature of the of winter sport in the country considering that we are blessed with some amazing resorts and skiing slopes and it's a surprise that India doesn't produce enough Winter Olympics so H.S. Pranoy is another named badminton player he has been fighting to for the you know for a while and he also has been this so that's the market difference that has happened this year compared to last year self nominations. So in this context the key question that comes is that like you pointed out sports is at the end of the day it's a really there's a lot of politics happening around and awards are often are at the time when a lot of this politics comes out and a lot of this politics is into play so are there any kind of same mechanisms to ensure say some of these issues can be resolved or some of these issues can be streamlined better so that athletes get more say athletes get recognized more easily and that is maybe less politics or the one that's one one question and on the other hand does it look like this kind of say jumbo award system is likely to stay or will it is it likely to be a one-year exception? It's I mean that's that's a I mean the second question is is subjective that way because we can't speculate whether this president would continue in the coming years it's been set and obviously there would be expectations they would be pushing and they would be cribbing and crying so that has happened this year as well for instance our Olympic medalist from last Games Sakshi Malik and she won the Kail Ratna for her Olympic bronze medal in 2016 and that's the highest I have ever compared to Arjuna and then she applied for Arjuna this year and it's it's a little I mean it's difficult to understand why she applied this year as well because she has been on the downwards slide ever since the last games and this year she even lost in the national finals so but any case she applied Mirabai Chanu applied both of them were Kail Ratna awardees on previous occasions and both of them were initially there in the short list so initially it was 29 Arjuna awards apparently and then when the final list was published approved they excluded these two and yesterday Sakshi has written a letter to PM and the sports minister saying that what should I do to get this award so it's so these kind of I mean every year when the awards come there is a lot of you and cry has to be deserved it people are people who are undeserving gets get it and people who deserve don't get it so that happens I guess in all the I mean it doesn't happen in any of the other awards I guess if you consider the Padma awards or any of any of those instituted awards by the by the government so here it happens because there is a lot of subjectivity in the process and there is a lot of loopholes which is exploited by people who have connections within the network people who are politically savvy let's let's put it that way at least who are politically savvy so how do you counter that that answers your first question how do you streamline the system it's I mean it's India we're talking about and it's very difficult to take that part out of it because at some level these things are bound to happen the best way to go about it is probably to completely do away with the nomination I mean this is this is just a just an idea that way completely do away with the nominations the criterias are already there let the jury or the let the committee that is convened every year decide on a shortlist based on the performance see performances are out there you don't have to be nominated to understand who did what in the sporting world for India because our performances it's not like we are the top most sporting country in the and we have 600 700 athletes to pick from so decide on a shortlist and from there deliberate and bring out with the avoid the nomination process altogether let the power to shortlist the nominees a shortlist shortlist athletes for the awards rest completely on the committee every year and let empower the committee fully and oversee that with the with the rule book and implement it it requires implementation rule books are the rule book is pretty straightforward and it's it's set properly it's just that the implement implementation factor remains ambiguous and this nomination procedure I believe it began at the early stages 60s Ajuna awards started so at that point I guess to push at least you required some kind of nomination because unlike these days information and information about performances and all that was not out in the open and in public domain or in social media or in instagram so I deliberately said instagram because there is a joke during the rounds that some of the awardees are those who did instagram live with with the sports minister so that's a joke but yeah so so everything is out there so why not why not do that in a direct fashion like like some of the other awards that we see where the nomination is done by the by the by the committee themselves and not by any extent that that at least cuts off 50% of the politics that could be played of course some element would still remain but that's that imperfection will remain in indian sport thank you let's keep talking to us in our next segment we bring you a series of conversations on new rules that are being framed for digital trade by rich and powerful countries in the world trade organization and in freeze brings you more details while most countries are focused on coping with cobit 19 and its aftermath some rich countries are pursuing an expansionist free trade agenda at the world trade organization one example of this is an effort underway to establish new rules globally for digital trade digital trade rules a disastrous new constitution for the global economy by and for big tech authored by debora james was the topic of a recent book launch and webinar this report features highlights of some key points contributed by debora james at that webinar we go now to our featured clips thank you so much to the Rosa Lucknerberg shifting for publishing the paper and for organizing this seminar and to roll on and to all of my excellent co-panelists welcome everyone thank you for being here today just to say our world is not for sale is a global network of about 250 groups from the global north and south from about 50 different countries and we oppose the current model of corporate globalization and we work together for a democratic sustainable and fair multilateral trading system so today i'm going to share with you three major points we're here to talk about the digital trade rules that the big tech corporations are pushing in the wto and another forum so i'm going to talk about the origin of the talks why are we having this discussion i'll give you a brief status update and then i'm going to focus on the implication of the rules so a couple of basic points technology obviously can stimulate prosperity and development it can bring us closer together and help build sustainable livelihoods we are not anti-technology but it can also constrain development it can exacerbate inequalities and it can destroy jobs and ways of life so whether countries workers and consumers everywhere will benefit from new technology or whether the benefits will only accrue to a teeny tiny minority will be determined by the rules which set the playing field for how digitalization will evolve over time and the important point is who is setting those rules now one of the best investments that corporations can make is to change the rules under which they operate so that they can extract greater profits from the economy while preventing their competitors from having a level playing field now powerful corporations have long used their surplus profits to invest in the undemocratic practice of trade policy making to use trade agreements to lock in rules promoting their rights to make profits while limiting government's ability to regulate them in the public interest often through policies that they could not have advanced through democratic channel the world trade organization as we know is the global rulemaking body on international trade big tech and other corporations operating and transport logistics telecoms finance agribusiness industrial many other sectors our lobbying governments to use the WTO to liberalize the digitalization that is currently transforming the global economy and particularly the governance of today's most valuable resource which is data so what's a quick status update well in 2016 the Obama administration first proposed rules on digital trade in the WTO after hiring a corporate tech lobbyist under the guise of e-commerce talks in the WTO proponents tried to get all 164 members to agree to a new mandate to negotiate binding rules on digital trade and to permanently push aside the development agenda which has been pending since 1995 okay but developing countries resisted the imposition of this new corporate agenda and they blocked the new mandate at the last WTO ministerial which was in Buenos Aires in December 2017 however a group of 76 countries launched talks among themselves to bring about a binding agreement on digital trade in the WTO now these nations are constantly lobbying and pressuring other developing countries that are not participating also to join their ranks their aim is to conclude an agreement involving as many countries as possible as well as to secure a mandate for talks among members of the WTO all the members by the time of the next ministerial conference so that was supposed to occur last month but it's been postponed at this time now one of the characteristics of the contemporary global economy is that while the productivity of workers and small businesses has increased over time obviously large corporations continually take more and more than their share as i mentioned they have used their surplus profits to intervene in the policymaking process to design the market to distribute more of the gains to themselves now this process has been facilitated by digitalization and the proposed rules are intended to lock in and accelerate that appropriation of the productivity of workers so in reality big tech has proposed the rules in order to consolidate its exploitative business model so what does it include it includes gaining rights to access markets globally they want to be around the world they want to lock in deregulation and they want to invade and prevent future regulation they want to access an unlimited supply of cheap labor that has been stripped of its rights they want to expand their power through monopolies they want to avoid payment of taxes and now the newest aspect they want to be able to extract and control personal social and business data around the world data is the lifeblood of the digital economy so whichever firms dominate artificial intelligence in their sectors by virtue of their big data set will dominate their industries about the fact that us-based big tech transnational corporations google apple facebook amazon and microsoft are now five of the six largest corporations in the world now the proponents are disguising their proposals in the trojan horse is being able to unleash development through the power of micro small and medium enterprises using e-commerce these are not e-commerce rules they go far beyond e-commerce and would result in the liberalization of all aspects of the economy they really represent a new constitution binding global rules on the entire digital economy written by big tech for its own benefit now these rules were already in the trans-specific partnership so it's in the tpp they also currently exist in the u uh japan uh fta and the us-japan fta and in the renegotiated nafta of the so-called us-mexico-canada agreement so if your country is a member of the trans-specific partnership you already have these rules if you're part of us mca if you are e-u with japan you already have them but that doesn't mean that they have to be exported to the whole world because they are much harder to change if they are agreed in the wto between the e-u and japan you can change it when you finally decide that it makes no sense for your countries but we need to not happen in the wto we need to make a change and we need to make sure that our activities that we're advocating for if they're economic justice racial justice you know data privacy whatever that they include also paying attention to the rules that are being developed globally and we have uh lots of room for growth within our world is not for sale for more groups to join to participate in this fight we need to make a change and we need to get the rules that we need worker rights more taxation anti-monopoly and stop them from implementing the rules that they want which will really have such a devastating impact on our lives for the future because once you get these rules in the wto forget ever changing them that is the problem that's all we have time for today we'll be back tomorrow with major news developments from the country until then keep watching 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Hello guys, welcome back to my channel. I hope that you're having an amazing day wherever you are. Today's projects are a little bit different than my traditional ones. These are going to be aesthetic DIYs. I feel like these projects are a little bit more on the viral, trendy, quirky, funky side, if you will. So I thought this video would come at like a perfect time to give you guys some inspiration for maybe your own DIY decor, or these are great gifts for your friends, your family, kids, nephews, uncles, aunts, whatever it might be. I think these are perfect DIY Christmas gift ideas as well. Now I saw my friend Jen over at Generation DIY do a video very similar to this where she created aesthetic DIY decor. And I absolutely loved her video. It was just so entertaining to watch. Oh my gosh, I also forgot to kind of mention that if you're wondering why I have barely any facial hair right now, it's because I shaped my face for my Halloween costume. I literally stayed at home, but my roommate and I were like, let's dress up. We could stay at home, have a cocktail. So I was like, okay, let's do it. And that is exactly what we did. I was Jack Skellington, as you can see right here. It's like a painterly Jack Skellington. I actually thrifted the suit, painted it on there. It was really cute in the end and I got a couple of fun photos, but that's why my face is shaved and my hair is so long at the moment. Now I have four projects for you guys and a lot of these projects actually came directly from you. I always check my Instagram DMs and a lot of these projects have been sent to me countless times over the past couple of months. She just asked me to recreate them on my channel. So that is exactly what I'm here to do for you guys today. And if you are not already, make sure to subscribe to my channel. I post brand new home decor and DIY videos every single week and I have a super exciting video at the end of this week for you guys as well, which it's gonna be a lot of fun. It's actually a collaboration, so I'm pumped for that. Yeah, I guess we can just go ahead and jump on into today's projects. Let me know what you guys think in the comment section below, but let's get started. Resin crafts have been so popular lately. So I knew I wanted to create something with resin. I found this incredible one on Amazon. It's non-toxic, it's bubble-free. And I'm also gonna be using a couple of these molds as well, which are perfect for little coasters and some dried flowers, which I also found on Amazon. All the products will be linked below for you guys. But what you're gonna wanna start off by doing is actually pouring out equal parts of your resin and your hardener. So I just used two different cups to make sure that I have a very similar amount. And these red solo cups are actually quite nice because you can use the lines on the inside, kind of as a gauge for the marking of the resin. And once those are all measured out into their cups, you're actually gonna wanna pour one of the cups into the opposite one to make our resin mixture. So just make sure that you try to scoop out as much from the cup that you're working with and pour it into the opposite cup. That way this is properly stirred and you're gonna wanna stir this for about three minutes and make sure to wear gloves and also stay in a well-ventilated space or use a mask when working with resin just to ensure that you're not breathing in any of the fumes or you're touching the material. And then what I wanna do is add a little bit of glitter. So I found this one in my stash, it's a gold glitter. Now I thought that what I added here was a small amount of glitter, but I added so much. I don't know why I thought that I added a small amount, but I added a lot. So when you are working with glitter and resin, make sure to start off small and kind of increase from there and don't go dumping in a huge amount like I did because I had a ton of glitter in mind, but it ended up looking incredible. So next what I did was I actually poured like a base coat of resin in the bottom of each of the coasters. So just something that would allow my flowers to stick as I placed them in and I dropped in my dried flowers. Now of course you could dry your own flowers if you want to, but this project was like very last minute in my head and I just wanted to go ahead and order some. So I ordered these ones and I'll link them below for you guys. And I kind of just randomly placed them around the resin coaster and then I topped off the coaster with another layer of resin.  You're gonna want to let this cure for about 24 hours. And once they are cured, it is so satisfying taking them out of the mold. So you're just gonna pop them out. They super easily come out. As you can see here, they're so shiny, sparkly. They're just really fun, unique coasters. And I couldn't just stop there. I needed to add a border of brass paint. So I picked out my gilding paint from Craftsmart which I love using and I just grabbed a dainty paintbrush. She paint the edges of all of my coasters and I feel like this just really finished them off. I gave them kind of like a completed border and also overall just made them look like they were dipped in metal which just elevates the overall look of these coasters. So have fun with these. They're super cute and fun. This next project is the definition of Vibe for sure. We are going to be starting off with two two-liter bottles. Now my friend James actually has a lot of these in his music room. They're like hanging up clouds that flicker different lights. They're so fun and unique and different. And I think they're perfect for a kid's room as well. So what I started off by doing was actually cutting off the top of both of my two-liter bottles. And I'm using one of these battery operated string lights. I don't know why I could not say that. Some battery operated string lights. And I'll link the exact ones that I used below but you're just gonna wanna shove these inside of one of your bottles and then go ahead and place your second bottle over the top and kind of maneuver these into each other to create this long tube shape. This is going to be kind of the encasement for our lighting and over the top of this we're going to be adding kind of our cloud material just to make it look nice and fluffy and like a cloud. So I went around the edges and added a little bit of hot glue just to secure those two bottles together and make sure that they did not come apart. And of course, we're gonna wanna add a hanger for this. So I went ahead and I grabbed this thin white string here. Now, if you have clear fishing line, that's even better but the more translucent or the more thin that you can get your strand the more it looks like the cloud's gonna be floating. So I went ahead and I glued this onto the left and right side of the bottles.  And I used hot glue, just laid down a nice base of it kind of pulled out clumps from my bag of polyfill and just placed them on top. Now do keep in mind that this kind of material is very easily to be ripped apart. So just kind of be careful with it and glue it together as much as necessary. But in the end, it works out really simply and easily. And I also do think that the ones that are in James's studio were actually hair sprayed after to kind of make all the polyfill stick to itself if that makes sense. I didn't end up hair spraying mine personally. However, that's totally an option you can go for as well to kind of coat it and kind of make it a little bit harder as well and more durable. So I coated this completely. And then once you're done you could actually hang this up and just use the remote controller from the string lights to turn it off and turn it on. And it's a really fun nighttime lamp slash light that you can put in your bedroom or wherever you want to kind of style this. A few weeks back on Pinterest I saw these super cute face trinket trays. And I was like, I could totally recreate something like this for sure. And I wanted to put my own little twist on it as well. So I went ahead and I grabbed some white oven bake clay and I put it on top of some parchment paper with my rolling pin, which I use strictly for clay. And I'm going to be rolling this out into the shape of a face. You can kind of maneuver the clay with a pin however you want. So I rolled it out into this kind of like rounded diamond shape. And then once I got my generic shape I just went around the edges and pinched them with my finger to create like a little lip on the edge. So it seemed more like a bowl slash tray as opposed to just a very flat piece of clay. And I loved it with this ended up turning out. However, you can see that there's some finger and dense in there. I suggest just rubbing them out with your finger. It kind of works really great if you just mush the clay and fill in those end ends. And then once I was done with that I wanted to create a thin little strip like a little snake of clay, I guess you could say which we are going to be using to add all of our details. So I created this really thin strip which I then went ahead and created the first eyeball with and the eyeball actually connected to the nose. I really loved the look of like minimalism line art especially when it comes to these kind of face sculpture shapes. So I went ahead, I added the nose and the eye and then I popped in a couple of eyelashes as well which I thought was a cute little addition. I kind of referenced this exact tray off of one I saw on Pinterest which I will link below for you guys as well. And then I also wanted to go in with some lips so I just created these off the top of the clay so I can shape them however I wanted them to be and then I placed them on top and you just wanna slightly press these in just to make sure that the lips are connected to the base of the tray and then I also added the little slit down the center as well. And once you're done adding these pieces that was all I wanted to add to this tray super simple and minimal. You're just going to pop this in the oven for about 20 minutes or so depending on the thickness of your clay tray.  I had to save my favorite project for last. I've been wanting to recreate these kind of shaped candlesticks for so long and I came across this video by Katie Bookser and she shared a tutorial on how to do it and I had to recreate them myself as well. So I'll link her tutorial for you guys because it was super helpful but I started off by going ahead and grabbing a tall vase or whatever you have that will put your candlestick inside of there and soak your candlesticks in warm water for 15 minutes. Make sure that it's not hot but that it is just warm and then once you pull them out of that water they're gonna be very, very malleable and it's a very weird feeling because they're not sticky at all or waxy, nothing transfers to your fingers but they're super moldable which is amazing. So I just kind of molded this first one here which was a yellow one into a really cool shape like a twisty squiggle I guess you could say. I just thought it was a fun take on your traditional straight candlestick and I love the way that these add just a little bit of personality to a space. And then going into style number two for this style I pulled it out of the water and I'm going to be flattening the wax down with a rolling pin. So I'm actually flattening everywhere that the water was touching the candle and softening up that wax. I'm going to be flattening it with the rolling pin. So that's exactly what I did. Just make sure to never go all the way down to the bottom because you still do need that base at the bottom to stick into your candle holder. So as you can see here I'm flattening it out and trying to just make it as even as possible. Flipping it over, doing the same thing to the opposite side and then once you have it to your desired kind of flatness I just went ahead and twisted it and that's all you have to do. It kind of creates this really cool corkscrew vibe which again is just such a funky, viby element. You could add this to a bedroom, bathroom, wherever you want it to go and that's style number two. Popping a couple more candles in. We are going to be using these two for style number four but for style number three I just grabbed this yellow one here and I wanted to actually create a full knot out of this. I thought a knotted candle would look so cool. However, the candle stick was not long enough so I ended up kind of creating this roller coaster loop vibe. And last but not least for style number four we're actually going to be using two candles for this one and with our first candle you're going to want to kind of imagine that it's going to be standing up on its own. So this type of candle will not be put in any form of candle holder so you're going to want to create a base that is substantial enough to hold up your candle. So I'm kind of creating this C shape on the bottom which then will connect to our other C shape as you could see here. Once they're connected it will create this really unique kind of squiggly double ended taper candle which is really fun and I just popped these in the fridge for about an hour to cool them down. Now I figured I can just go in with a lighter and kind of light one of the ends and that way it would melt and then I could melt it to the other one and it would be perfect to go but that was not the case. The wax actually dried super quickly so all I did was I just super glued them together and I think the seam would have been a little bit more seamless if I wouldn't have actually burnt the first one first because it kind of rounded off those edges a little bit but once you do super glue them it is perfect. It looks amazing and that finishes off all of these kind of funky new candle shapes. And that guys finishes off today's video. I hope that you enjoyed the creation of these projects. The coasters were so fun to make and not to mention those candlesticks. That was probably one of my favorite projects in the video for sure. I just loved how I was able to bend them and shape them and form them into something that they were not to start with. So if you're not already make sure to subscribe to my channel. I post brand new home decor and DOI videos every single week here on the channel. You can also make sure to click that bell icon next to the subscribe button if you are not already because it actually notifies you when I upload a video because a lot of people don't get notified unless you click that bell icon. So make sure that is pressed by your subscribe button and you are good to go. But I will catch you guys all in my next video. Have an amazing rest of your day and I'll see you next time. Bye guys.


Organic solar cells based on non-pholarine acceptors have been rapidly developed despite their low power conversion efficiency and short-term stability. To address this challenge, we integrated a wide-band gap-electron-denating polymer, PTZBIDF, with two acceptor molecules, L8B0 and Y6, featuring similar structures but different thermal and morphological properties. As a result, we achieved a promising efficiency of 18.26%, while also obtaining excellent long-term thermal stability under 85 degrees Celsius continuous heating. Our study suggests that the morphology of the film can be controlled by varying the weight ratio of L8B0, Y6, thereby reducing the energetic traps caused by thermal stress and improving the overall performance of the device. This article was authored by Kangin, Wen Kaishong, Feng Peng, and others.