The IRS Sets a Trap for Cryptocurrency Tax Cheats

Re:The IRS Sets a Trap for Cryptocurrency Tax Cheats by missedthecue on Sunday September 27, 2020 @01:11AM (#24604376)

There are only 500-600 billionaires in the US and I'd wager that none or very very few of them cheat on their taxes, given that doing so would have provide essentially no noticable improvement on their spending ability, but have a very high cost if caught.

I don't think your handsome graphic there is offering much insight into the topic at hand. The richer someone is, the less likely they are to cheat on their taxes.

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Re:The IRS Sets a Trap for Cryptocurrency Tax Cheats by JackFr on Sunday September 27, 2020 @02:07AM (#24604578)

Yes and no.

EITC not withstanding you need to have income to hide it.

According to Brookings, the bottom 50% pay 14% of the taxes but are responsible for only 12% of evasion.

The better distinction is the source of income. Farms, landlords and sole proprietorships are the leaders in misreporting income. W-2 salary reporters account for <1% of evasion. Between those two groups are misreported tips (typically lower end) and capital gains (typically higher end)

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