There are no advantages of tax evasion because it is illegal to do. It may seem like an advantage at the time because it is the refusal to pay taxes. However, a person can face jail time and severe fines if and when they are caught.
Tax evasion is knowingly and purposely not paying taxes to the government or attempting hide taxable monies. Many celebrities have been charged with tax evasion simply because their accountants didn't know what they were doing.
yes
You can certainly report someone for tax evasion or tax fraud, and the IRS might even pay you a portion of the taxes they collect from the offender as a reward. There is a special form used to report tax evasion and tax fraud to the IRS: Form 3949a, "Information Referral".
The primary test that distinguishes between tax avoidance and tax evasion is the "legal vs. illegal" criterion. Tax avoidance involves using legal methods to minimize tax liability, such as deductions and credits, while tax evasion entails illegal practices to evade paying taxes, such as underreporting income or hiding money. The distinction often hinges on whether the actions taken comply with tax laws and regulations. Ultimately, tax avoidance is permissible, whereas tax evasion is a criminal offense.
-high tax rate -multiplicity of tax -administration inefficiency
Advantages are discouraging bad behavior and increasing tax revenue. Disadvantages are it is not very effective and makes the criminals go underground to perform activity.
he went to jail for tax evasion in the year 1931
He did....her served 4 months in prison for tax evasion in 1979.
Tax evasion can be a misdemeanor or a felony depending on how severe it is. Failing to file a tax return is a misdemeanor and can send a person to prison for one year.
Tax evasion is knowingly and purposely not paying taxes to the government or attempting hide taxable monies. Many celebrities have been charged with tax evasion simply because their accountants didn't know what they were doing.
yes
yes
You can certainly report someone for tax evasion or tax fraud, and the IRS might even pay you a portion of the taxes they collect from the offender as a reward. There is a special form used to report tax evasion and tax fraud to the IRS: Form 3949a, "Information Referral".
"Detecting" tax evasion can be a hard thing to do if you don't have the legal rights of a private investigator for instance. At any rate, tax evasion is not "detected" in the sense that there are certain behaviors to look for, evaders are caught.
Once someone is found guilty of tax evasion some of the penalties associated with this crime range from being fined to jail time. The IRS and the CID are responsible for enforcing penalties associated with tax evasion.
http://www.hmrc.gov.uk/tax-evasion/hotline.htm
-high tax rate -multiplicity of tax -administration inefficiency