I'm not surprised by the level at the top but I straight-up don't believe the ~7% estimate at the bottom. Poorer people I knew always made significant (for thei

I'm not surprised by the level at the top but I straight-up don't believe the ~7% estimate at the bottom. Poorer people I knew always made significant (for their income) tax free money: tips, under the table, selling stuff, maybe minor dealing, etc. OP is based on a paper[1] which uses and then corrects results from random audits which I wouldn't expect to catch these things. There is some statistical magic called Detection Controlled Estimation done by the IRS that supposedly covers it but I don't know how it works. [1] very nice of them to provide a direct link: http://gabriel-zucman.eu/files/GLRRZ2021.pdf http://gabriel-zucman.eu/files/GLRRZ2021.pdf