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Thread: Rats! City to Pay for Informing on Tax Cheats

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    Rats! City to Pay for Informing on Tax Cheats

    Rats! City to Pay for Informing on Tax Cheats | NBC Chicago
    I hope this is acceptable as braking news since it's from NBC Chicago and listed as news.

    Chicago and Cook County residents aren’t the only ones about to get shocking tax news; the city is debuting a “tax whistle-blower” plan that could turn neighbor against neighbor in Chicago’s business community.

    The folks at city hall will pay cash bounties to informants who turn in business tax cheats around the city. The reward would amount to some sort of percentage of the tax money that the city recovers.

    "It's just another way of bringing people into compliance," Revenue Department spokesman Ed Walsh told the Sun-Times.
    Why do I bring this up? How many of you remember flag@whitehouse.gov an address we could use to report on information we felt was a lie about the so-called Health Care reform? Well that was met with so much opposition it had to shut down. Hell I was disappointed because I used it to report on the three biggest liars about it out there. Pelosi, Reid, and Obama.
    Well since that effort to get you to start thinking about becoming a "Block Warden" so to speak they have this new plan to get you thinking about becoming an informant. How you could possibly know that your neighbor is a tax cheat is beyond me unless unless he or she is an idiot and tells you. But I don't think that is the point. I think the idea is to get you once again thinking about how you can help big brother and his efforts to control.
    And hey if you rat out the folks next door under this Chicago plan you get paid for your efforts. I just wonder how much fun it will be to have the folks next door hate your guts. It sure will make the next block party a fun event. Or maybe it will be an occasion for a weenie roast in the flames of your house as it's burned to the ground in retaliation.
    This is a bad idea. I'm not saying people should get away with being tax cheats. I'm saying is it our job to possibly put ourselves and our families at risk to help a corrupt system do the job they were hired to do.
    I know your saying that could never happen most neighbors are good decent people. To that I say what is it we hear all the time about murderers? Oh John he was a quiet guy kept his lawn mowed and his car washed. Hell he dressed up like a clown and did kids parties. I never would of thought of him as dangerous.
    It's something to think about that before you become the next Block Rat for any corrupt system.
    Think about it.

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    Re: Rats! City to Pay for Informing on Tax Cheats

    I don't understand all the outrage over this. It provides people with an incentive to report crimes. Are you similarly outraged at the organizations that provide rewards for people who turn in copkillers?
    People sleep peaceably in their beds at night only because rough men stand ready to do violence on their behalf.

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    Re: Rats! City to Pay for Informing on Tax Cheats

    I agree with RightinNYC.

    Think of it this way Councilman, would you want your competitors to have an unfair advantage of avoiding taxation?

    I don't think so. Besides, imagine the bad PR from having it get out your firm is evading taxes. Mere threat of this ordinance may be sufficient in achieving the goal.
    "If your opponent is of choleric temperament, seek to irritate him." - Sun Tzu

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    Re: Rats! City to Pay for Informing on Tax Cheats

    There is no relevance between the Chicago 'Rat Patrol' flag@whitehouse.gov. Both processes are ill advised but for different reasons. The Chicago 'Rat Patrol' I find repugnant in that I never liked any tattle tails, rat, squealer, teachers pet, whoever ran their mouths. The flag@whitehouse.gov is just ill advised it that it makes the WH appear to be whiners.

    We are so impressed that use the WH website to rant your hatred you should post those Emails they should make funny reading. Better yet post any responses that you have have received. . Lol
    “I do not recall the Viet Cong asking me if I was a natural born or Naturalized American before they shot at me, they just shot at all of us “ f107HyperSabr

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    Re: Rats! City to Pay for Informing on Tax Cheats

    Quote Originally Posted by RightinNYC View Post
    I don't understand all the outrage over this. It provides people with an incentive to report crimes. Are you similarly outraged at the organizations that provide rewards for people who turn in copkillers?
    There are actual laws against killing people. There are no laws for paying taxes.
    If you analyse it, I believe the very heart and soul of conservatism is libertarianism. -Ronald Reagan

    I am also known as "vauge".

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    Re: Rats! City to Pay for Informing on Tax Cheats

    Quote Originally Posted by vauge View Post
    There are actual laws against killing people. There are no laws for paying taxes.
    You're saying that there are no laws requiring businesses to pay taxes?
    People sleep peaceably in their beds at night only because rough men stand ready to do violence on their behalf.

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    Re: Rats! City to Pay for Informing on Tax Cheats

    Quote Originally Posted by vauge View Post
    There are actual laws against killing people. There are no laws for paying taxes.
    I got about 5,000+ pages of the Internal Revenue Code as legislated by the Congress of the United States saying you're wrong.
    "If your opponent is of choleric temperament, seek to irritate him." - Sun Tzu

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    Re: Rats! City to Pay for Informing on Tax Cheats

    Quote Originally Posted by RightinNYC View Post
    You're saying that there are no laws requiring businesses to pay taxes?
    There are laws saying that you have to pay taxes, but no laws saying that you can't play the system and pay as little taxes as possible. There's no law against cheating, only laws against outright evasion. Even those laws are weak, look at the Secretary of Treasury.

    This will be short lived. There are going to be more lawsuits come out of this than you can shake a stick at. The extra revenue that the government gets will not be enough to pay for the lawsuits they get slapped with. All they can do is audit you. Then you say, "oops, my bad, thougt I could deduct that".
    Last edited by apdst; 10-29-09 at 02:41 AM.
    Quote Originally Posted by Top Cat View Post
    At least Bill saved his transgressions for grown women. Not suggesting what he did was OK. But he didn't chase 14 year olds.

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    Re: Rats! City to Pay for Informing on Tax Cheats

    Quote Originally Posted by apdst View Post
    All they can do is audit you. Then you say, "oops, my bad, thougt I could deduct that".
    I would think they're more after people who don't pay tax at all rather than those making up questionable deductions. From the article "It would probably be ... a business knowing that a competitor is not remitting a tax." So for example a business collecting sales tax and not sending it in. Perhaps by not reporting all of their sales, etc...

    As far as the cost being more than their gains - collecting tax is nothing new to the IRS or the states. The concept of cost/benefit is not lost upon them. They're clearly not going to conduct massive audits of everyone reported through this program. Rather, they would focus their efforts where they expect the greatest payout. This just helps them identify that easier.

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    Re: Rats! City to Pay for Informing on Tax Cheats

    Quote Originally Posted by apdst View Post
    There are laws saying that you have to pay taxes, but no laws saying that you can't play the system and pay as little taxes as possible. There's no law against cheating, only laws against outright evasion. Even those laws are weak, look at the Secretary of Treasury.
    You can create labels to describe the distinctions all you want, but the fact remains that there are tax practices that are acceptable (i.e. legal) and those that are not (i.e. illegal). If someone is paying his employees under the table, that's obviously illegal. If someone is operating a cash business and underreporting their sales, that's obviously illegal.

    This will be short lived. There are going to be more lawsuits come out of this than you can shake a stick at. The extra revenue that the government gets will not be enough to pay for the lawsuits they get slapped with.
    I'm curious as to what you're basing this on - how exactly would it "create lawsuits" other than your general feeling that this is bad and that all bad things lead to lawsuits? Who would be suing who? On what grounds?

    All they can do is audit you. Then you say, "oops, my bad, thougt I could deduct that"
    And if your story is obviously not believable, such as if you're paying people under the table or underreporting sales by $300k, then nobody will believe you and you will go to jail.

    You seem to be under the impression that the purpose of this law is to get people to rat out their neighbors for taking a questionable $300 home office deduction. It's not.
    People sleep peaceably in their beds at night only because rough men stand ready to do violence on their behalf.

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