I'm all for simplification of taxes, though there will always be some degree of people evading taxes. Having no deterrent factor allows people to cut corners a

I'm all for simplification of taxes, though there will always be some degree of people evading taxes. Having no deterrent factor allows people to cut corners and not get caught. There's a good chance the waiter/waitress you tipped in cash is not reporting it, particularly if you went to a small non-chain restaurant. I believe there are people who work hard in construction, factories, and restaurants, and that people should pay taxes on what they earn whether it's paid in cash or not. It benefits the restaurants to not fully properly report it because they need to pay their portion of Social Security, Medicare, and Medicaid. The ROI for the IRS conducting audits is very high, estimated to be 7x in 2012. [1] [1] https://www.irs.gov/newsroom/national-taxpayer-advocate-delivers-2012-annual-report-to-congress https://www.irs.gov/newsroom/national-taxpayer-advocate-deli...