If there’s a certainty in tax law, it’s that there are a vast number of people who really want to believe. And there are a small number of people who serve them in supporting wishful thinking.
Let’s talk about offshore tax evasion. An interesting statistic emerges from the GAO’s report to the Senate Finance Committee (PDF, sorry). For 2000, the IRS estimates there were 505,000 taxpayers participating in some kind of offshore tax evasion scheme. Of that, a stunning 500,000 were involved in credit card schemes. See page 5 of the report.
Friends, the hammer’s coming down and it will squish you like a bug. It’s time to clean house.