Tax season is just around the corner, so here’s a tip from the Internal Revenue Service: Criminals can no longer enjoy their crime businesses in the US tax-free, they have to pay crime tax now.
That might seem ironic given that criminals doing illegal activities aren’t keen on admitting their deeds, so people were wondering if the photo circulating online was fake.
It turns out, however, the rule is real and it's included in the IRS's 2021 federal income tax guide. Illegal activities like dealing illegal drugs are given appropriate tax and must be reported as income from self-employment activity. Stealing, however, can result in no taxes if the stolen property is returned to its owner in the same year.
Image via @litcapital/twitter