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a_sh-v [17]
3 years ago
6

The largest contributors to the so-called "tax gap" are

Social Studies
2 answers:
ziro4ka [17]3 years ago
8 0

The largest contributors to the so-called "tax gap" are gross tax gap.

Usimov [2.4K]3 years ago
7 0

The gross tax gap is the absolut difference between the total amount owed in terms of taxes and the amount paid on time.

As the data from IRS (Internal Revennue Service) in the charts show, underreporting is the main cause of this tax gap. Almost 85% of underreporting comes from individual income tax returns. The 60% of this underreporting from individuals is owed by businesses and self-employed individuals. Around 11% of underreporting is attributed to Corporate Income Tax.

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