Thursday, June 30, 2011

DON'T CRY FOR THE SMALL BUSINESSMAN

If you've worked or had dealings with a very small business (< 50 employees), you know they at the very least cut corners about paying taxes.   These are the people who radio clowns like Hannity claim are the backbone of America, especially if they happen to live in Southern rural hamlets.  It turns out that these folks are HUGE tax cheats:
Here's a debt reduction plan: Collect billions from tax cheats
By Tony Pugh | McClatchy Newspapers
Posted on Thursday, June 30, 2011

But individuals with business income — mainly self-employed, sole proprietors who get paid in cash — misreport roughly 54 percent of their actual income by either underreporting it, or claiming deductions, credits and exemptions to which they aren't entitled.

These taxpayers escape an estimated $110 billion in taxes each year, according to 2001 IRS estimates. Experts agree the amount has surely grown since then.

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