[TeMPOraL]

Doesn't US have an "ill gotten gains" field on the tax form?

EDIT: Apparently, your illegal income is regularly taxable, and expenses related to (most) illegal activity are tax-deductible. Cool!

https://en.wikipedia.org/wiki/Taxation_of_illegal_income_in_....

"The U.S. Supreme Court in Tellier reiterated that the purpose of the tax code was to tax net income, not punish unlawful behavior."

I do appreciate this sentiment. Separation of concerns.

[nwatson]

The U.S. revenue-side of government isn't encouraging you to start illegal businesses to improve tax receipts, they probably get almost no taxes from that form-box ... it's just much easier later when authorities find out about your illegal activities to convict you of evading taxes that were clearly and easily payable in the past than to convict you of your particular illegal behavior.

[auxym]

Also the case in Canada, to my knowledge. A few years ago, a TV show called the tax agency anonymously, claiming to be drug dealers and asking how to report their earnings. The tax agency person was helpful and cooperative, and said they can't report it to police.