There are three things on earth that absolutely cannot be tried, banning alcohol in Russia, drug trafficking in China and tax evasion in the United States. In the United States, you can outwit the CIA, you can play the FBI, but if you evade taxes, the IRS will chase you to the ends of the earth.
The Internal Revenue Service (IRS) is part of the U.S. Treasury Department and is the tax authority of the U.S. federal government, established in 1862 during the Civil War. The IRS has only two designated positions: Commissioner of Irsurement and Chief Advisor. The U.S. president's nomination is required and the Senate can pass to "take office." The IRS has a nine-person oversight committee to ensure that every taxpayer is treated fairly. Although the IRS is headquartered in Washington, most of the audits are in local offices. The IRS employs 115,000 people with American social security numbers and bank accounts, including 40,000 auditors. President Biden's intention to step up audits of taxes paid to america's wealthy and corporates means that the IRS workload will increase dramatically.
History of the IRS
The IRS was born in the Civil War, when Lincoln had just come to power and saw that the American Civil War was on the verge of breaking out, but the American Northern Army did not have enough military funds, farmers, factory owners were unwilling to pay taxes, hidden income, and even violent tax resistance, and capitalists were unwilling to pay taxes. In order to raise military funds, the Lincoln administration established the National TaxAtion Service, but at the beginning Lincoln did not give the IRS a lot of power, only let them collect taxes, but before people could speak, the other side took out the gun first and violently resisted the tax. Later, the government directly gave the IRS the power of "armed tax collection", specially built a tax police for them, equipped with armed forces and prisons, courts, and the power to freeze assets directly without application. As long as the tax police think that you have tax evasion, there are good fruits to eat.
U.S. Domestic Armed Forces Fancy Rankings: First place is the U.S. Military, Second Place is coast guard, third place is IRS, yes, the IRS. Compared with the FBI, the CIA, and any police station, the weapons and equipment are similar to the Army, and basically all kinds of weapons are available.
The gang boss that the FBI can't bring down, the multinational drug lord that the CIA can't do, will be weak when they see the IRS, because they can't fight and can't escape. Whatever the source of income, even illegal income, must be filed for tax. Maybe you have the means to get through the sky, the network is wide, the police and the government can't control you, but if you dare to evade taxes, I'm sorry, you have a big deal.
In 1920, Kavon was still a minor scoundrel, but through numerous street wars, his position among the Chicago gangs rose rapidly. At the age of 26, he became a rogue leader and used an iron fist to control Chicago's vast underground crime syndicate. He personally killed no less than a hundred people. The Chicago government had always wanted to dismantle his "gangster empire", but never succeeded until the case was transferred to the IRS.
Cardiffon took most of Chicago's gambling, brothel, drinking and other industries under his wing and made excess profits. In 1927, he allegedly owned $100 million in assets. Cardvon never had a bank account in his name and only signed a check once in his life. He does anything, almost exclusively in cash, leaving no criminal record. To complete the mission, the IRS tracks Cardiffon's income and business. At a casino in Illinois, a casino clerk mentioned that Kavon's men had an elaborate cloth book that recorded every income and expense.
There are also records of Carvon's gang doing some profitable business in the local area: some records from 1925 to 1926 show that in this series of operations, "local officials" received 20% benefits, and Kavon's benefits doubled, about 250,000 US dollars. After 3 years of investigation, in 1931, with the evidence pieced together, Kavon was sued for tax evasion. The IRS finally sent Kavon to federal prison with an 11-year sentence. Although the U.S. judicial system adheres to the principle of trial without suspicion, the IRS's attitude toward suspected tax evasion has always been suspicious.
IrS means that whether you are drug trafficking or money laundering, the tax you should pay cannot be less. If you dare to evade taxes, wait to go to jail. On the official website of the IRS, there are special guidance for illegal income earners how to declare taxes, everyone is a good friend after paying taxes, and it is a matter of the police to catch criminals, and it is a matter of our tax bureau.
There are currently 17 states in the United States that tax illegal drugs. Drug tax laws impose $3.50 per gram of marijuana and $200 per gram of cocaine or heroin. According to the regulations, drug dealers are required to pay taxes on their products by mail to the Inland Revenue Department before selling them. Under the U.S. Fifth Amendment, inmates cannot self-incriminate. The U.S. Supreme Court ruled that drug dealers are allowed to file taxes anonymously in the course of judicial practice on drug taxes. Nebraska has issued 225 drug tax stamps in the 30 years since the drug tax law was enacted.
In those years, the stars who were "greeted" by the IRS
Wesley Snipes, known to fans for starring in the Blade Series, has grossed more than 400 million at the global box office. In 2008, he was revealed to have evaded taxes three times between 1999 and 2001, totaling $7 million. In December 2010, he was sentenced to three years in prison.
In July 2013, Joe Giudice and Teresa Giudice, a couple on the American reality TV series Housewives in New Jersey, received 37 allegations of tax evasion, one of which stated that Joe had not paid taxes for four years, from 2004 to 2008. Joe pleaded guilty to five charges and was sentenced to 41 months in prison, Teresa pleaded guilty to four charges, sentenced to 15 months in prison, and the couple also needed to pay about $410,000 in fines.
The IRS is one such department that makes people "feel frightened". A former IRS tax collector once said that as an IRS agent, you must have a strong nerve. When the tax collector applied, the interviewer reminded her that sometimes the job had to do something "not very decent" and asked her a few questions, such as "Can you neatly deduct the bankrupt's car?" Is it possible to give a forfeiture notice to a poor family? Is it possible to face an angry citizen holding a pistol without changing his face? ”
People live to pay taxes, and when they die they are finished? There is also inheritance tax waiting for posterity. Four and a half years after the sudden death of American pop superstar Michael Jackson, the IRS came to "chase money", jackson estate executors declared that when he died, the net asset value was only more than $7 million, but the IRS determined that his actual assets totaled $1.125 billion, not only $505 million in taxes, but also $197 million in fines, totaling more than $702 million.
There are many tax collection clauses according to law
As Benjamin Franklin, the founding father of the United States, said: In this world, only death and taxes cannot escape. For ordinary people, if they just accidentally fill in the wrong hand when filing, forget to attach important documents, or really don't have the money to pay the taxes owed, the IRS may send letters to urge corrections, and may audit individuals with relatively serious mistakes, but they will not send people to prison. The penalties for tax evasion and evasion in the United States are very strict, and the tax evasion is also defined separately:
Negligence: If the IRS feels that your tax return data is inconsistent because of your negligence, then you will need to pay a penalty of 20% of the tax missed;
Civil fraud: If the IRS determines that you have evaded taxes, but the conduct does not constitute a crime, then you will need to pay a fine of 75% of the missed taxes;
Criminal fraud: If you have tax evasion and the behavior already constitutes a crime, you will need to pay a huge trial fee, or even pay the price of jail for it.
Penalties are then imposed on the basis of the nature of tax evasion:
Tax Evasion: Any tax evasion, including fraud to conceal your actual income, can be punishable by up to 5 years in prison;
Failure to file taxes can result in a maximum of one year in prison ,(each year of non-filing can result in a one-year sentence) plus/or a fine of up to $100,000 for individuals, a maximum fine of $200,000 for companies, and taxes you would have paid;
Reporting incorrect tax data can result in a maximum three-year prison sentence, plus a $250,000 cap fine for individuals/a $500,000 cap fine for companies.
Helping others evade taxes is punishable by a sentence of 3-5 years in prison depending on the severity of the offence. If someone is accused of tax evasion, you can get up to 30% of the tax recovered.
April 15 is a "big day"
In the United States, April 15 is the tax deadline under U.S. federal law. By April 15, Americans will submit a copy to the IRS, produce their proof of income, and send their own forms for the IRS to review.
If you choose to evade filing tax forms or deliberately fill in the wrong forms and commit tax fraud, as long as the IRS determines that there is a suspicion of tax evasion, the parties may face jail time. Perhaps, one day, the IRS will personally come to the door to "armed tax collection".
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