WASHINGTON, April 16 (UPI) -- The U.S. Internal Revenue Service said taxpayers underpay the government $345 billion a year, with unreported business income a large part of the shortfall.
The Washington Post cited IRS data in reporting Monday shopkeepers, mechanics, farmers and landlords are the occupations most likely to pay less than half the taxes they owe. This year, tax returns are due by midnight Tuesday.
The newspaper used as an example a Maryland businessman who paid less than $200 in taxes off of reported income of less than $8,000. An IRS investigation uncovered several cars and high-priced jewelry that suggested the man actually earned much more, the Post said.
Closing such gaps is a popular cause in the U.S. Congress where members are eager to find ways of increasing revenue without raising taxes, the newspaper reported.
