[omega4412]

How do you think they put Al C. in jail.

Likewise for various state and local politicians on the take. The Feds got them for not paying income tax on the bribes and kickbacks.

[monkeyshine]

I think they know that this is how they got Capone. The point here is, and the problem which has been pointed out many times by people of all political stripes is that filing a tax return declaring illegal income is a violation of the 5th amendment right against self incrimination. They say they made $1MM selling pot, pay $390,000 in taxes on it, and then 5 years later the feds could throw them in jail and have their own self-sworn and signed “admission” as evidence against them in trial.

I am sure that this fine point has also been adjudicated... but maybe if we are lucky we can get them to amend the tax form so that nothing written on it can be used to incriminate the filer for anything (or at least for anything other than tax evasion). Not posting this to say I agree with the tax scheme, just that this is the way it is.

[a fool in paradise]

Likewise for various state and local politicians on the take. The Feds got them for not paying income tax on the bribes and kickbacks

Wasn't the radio payola scandal originally over unreported "earnings"?