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To: LindyBill who wrote (202817)4/16/2007 10:45:11 AM
From: gamesmistress  Read Replies (2) | Respond to of 793835
 
Any small business who gets paid cash will do it. Doesn't the IRS have some sort of template about how much a certain type of business or employee (i.e. waiters) are supposed to make, and penalize you if you can't prove otherwise? Another problem is if the owner or family members get in the habit of taking money out of the till without accounting for it, and the employees start dipping their hands in too. No checks and balances. But that's just poor management.



To: LindyBill who wrote (202817)4/16/2007 11:47:12 AM
From: Alan Smithee  Read Replies (1) | Respond to of 793835
 
2005 IRS Study Provides Preliminary Tax Gap Estimate

IR-2005-38, March 29, 2005

WASHINGTON – The Internal Revenue Service released preliminary results today from a major research project assessing compliance with the tax laws. The study reveals the vast majority of American taxpayers pay their taxes timely and accurately, but the nation still has a significant tax gap.

The preliminary findings show the gross tax gap — which is the difference between what taxpayers should pay and what they actually pay on a timely basis — exceeds $300 billion per year. The results indicate the nation’s tax gap increased slightly to between $312 billion and $353 billion in tax year 2001. This compares to the old tax gap estimate for 2001 of $311 billion based on earlier studies.