Quatloos!

Since getting back into tax compliance myself, I have turned in a CPA for substantial unethical conduct--reporting the fraud to both the state ethics committee, which was forwarded to the IRS compliance unit. I knew a guy who bragged about being "out of the system" and made substantial income, using many people badly in the process. What is the level of evasion and fraud which is significant enough to be reported? I know people who have been paying workers under the table for many years. The state D.R.S. has contacted me looking for names.

For criminal investigation, the bar is set high at the IRS. They want big dollars and multiple years. Big dollars means $50,000 tax/year.

However, any referral will get a good look. Most referrals are handled by examination which would mean that unless that person told you he/she was being examined, no one would know that the IRS was acting.

The unfortunate fact is that the tax standards are not uniform or uniformly applied. The homeowner pays foreign immigrants cash to paint his house to save himself money faces no legal jeopardy while the head of a labor company faces many risks should the government enforce the laws--unlikely in the case of immigrants--law enforcement would be left chasing shadows. Congressman Peter King wanted a Federal response to illegal's tax evasion. Is there a site for statistics on IRS' enforcement in this category?