CA: Cash deals costly to state (Underground Economy)

Sac Bee ^ | 1/14/03 | Aurelio Rojas

[NormsRevenge]

As California grapples with a record $34.6 billion budget shortfall, the underground economy is thriving -- costing the state up to $4 billion a year in unpaid taxes, according to the Franchise Tax Board.

But independent studies suggest the state's estimate is low, and that even more individuals and businesses are dealing in cash to avoid taxes.

[DManA]

If this continues to get out of hand, the ruling elite will start thinking about bringing back the death penalty - for tax cheats.

[Kozak]

Wait, isn't one of the arguments in favor of leniency on "undocumented workers" the argument that they actually pay taxes but don't get benefits? I thought they were a boon to the states coffers, not a drain? Guess not eh?

[DoughtyOne]

Hmmm, we've facilitated the presence of between three and five million illegal aliens in our state, but have just now woken up to the reality that they deal in under the table cash transactions. LOL, I realize this article isn't addressing that issue directly. After all, we never do, do we.

[B.O. Plenty]

Dear Tom Rankin:

"We'd like to see enforcement beefed up," said Tom Rankin, president of the California Labor Federation. "This is a problem that is getting worse with no end in sight."......HARHARHARHARHAR (LMAO)......Yeah, right, Tom....knock yourself out trying to beef up enforcement on a zillion illegal Mexicans.....I know they will comply right off.......

[from occupied ga]

An off-the-books economy is stealing billions in revenue.

This headline shows what's wrong with the perceptions in the media and the government. What is really happening is that the government is stealing billions from the hard working taxpayers, but you can bet your last money order sent to Mexico that the Bee staff would never even think of it that way let alone write something as blasphemous (yes I mean blasphemous - the state is religion to liberals) as suggesting what the government does is theft. (But of course it is)

[thinktwice]

An off-the-books economy is stealing billions in revenue

Taxation for unreasonable state expense is nothing more than government stealing; and legislation in return for campaign contributors is nothing more than total corruption.

[HEY4QDEMS]

I build Adirondack chairs in my garage and sell them. You guessed it, no checks, no receipts, just cash.

[Maelstrom]

Funny...

The solution, of course, is to reduce taxes to the point that the underground economy does not seem quite so attractive.

[Slipjack]

PING - Plus we should get rid of all PAYROLL TAXES that are a hinder to one earning a Living, and go to a National Sales Tax of 20% that would take the Gov. & State requirements, whereby all pay TAXES if and when they want to purchase something.

[Reeses]

independent contractors -- from people who work in their homes

soon: housewife = untaxed sex worker

The state should remember that taxpayers can get aggressive as well. I for one know I pay 5 to 10% more tax than I could if I hired an aggressive CPA, paid them a commission to find every write-off possible. I'm starting to think that's the patriotic thing to do, bury the socialists as fast as possible. People and businesses can also relocate to Neveda very easily. It's only 2 hours away for most of us.

[from occupied ga]

People and businesses can also relocate to Neveda very easily. It's only 2 hours away for most of us.

Voting with your feet is probably the best option currently (actually lining the bums - including the staff of the Bee - up against the wall is the best option, but I don't think that it would get much popular support in terms of people actually doing something)

[Reeses]

It's not a happy thought but if the terrorists suceeded in dirty bombing one California city with the contents of a dentist's x-ray machine it would be all over for the city-dwelling Democrats in power.

[balrog666]

It's only a matter of time until cash is illegal.

[TomSmedley]

It's only a matter of time until cash is illegal.

It's possible now to buy pre-paid master cards, in order to bypass banks when doing business on line. As Gary North puts it, when secure and private digital currency arrives, the days of the nation-state are numbered. I think maybe the folks at www.mymccard.com might be nudging the process a step in the right direction.