My experience with friends in law enforcement is that what defines the majority criminals is a lack of understanding of risk. That lack creates a strong sense of "I know how to get away with this."
I remember a story of a guy being busted who ran a business, bought his $500k house in cash, his half dozen trucks in cash, and yet paid almost nothing in taxes. The thought was, "I'll under-report my income, and pay everything all in cash so they can't trace anything!" Except for the fact that transactions over $10K get reported to the IRS, not to mention all of the property to various agencies which circle back to the IRS.
People who have a least a clue what could go wrong tend to also realize they probably aren't seeing other ways for it go wrong, as well.
Used to be worth about $65,000. This will probably be a requirement when $10,000 is worth $1,000 of today's dollars--do nothing, and more and more stuff comes under reporting requirements.
Ridiculous that these things aren't inflation adjusted. I ended up paying the alternative minimum tax once, the old "millionaire's tax". Spoiler: I'm not a millionaire. If I was, millionaire isn't what it used to be, either. https://www.thebalance.com/alternative-minimum-tax-amt-who-h...
1. Clued up criminals will choose crimes that are less risky.
2. The more ignorant the criminal is, the more likely they are to be caught.
3. When you are smart enough, there are legal ways to make criminal amounts of money.
Smart people either avoid crimes, or they avoid getting caught, or they do crimes with low penalties (some white collar crimes can have very high expected gains).
Yes, absolutely. The same law that provides for banks reporting deposits and withdrawals over $10K also puts similar requirements on retail establishments that accept payments that large.
Although in practice they're probably buying a $9k salvage truck in cash, then paying mechanics in cash to fix it up to be a $75k truck.
The same thing happens with houses. Someone buys an absolute dumpster fire in cash. Then they pay contractors to fix it up nice, beautiful appliances, tiling etc. The house gets sold and the money ends up all in the white.
IDK. The bank reports that the J. Random Chevrolet dealer deposited $75,000. The bank doesn't know where that came from. They don't know if it represents 75 $1,000 cars or one $75,000 car.
I used to work at a restaurant that regularly deposited more than $10,000 cash per day. We never filed any IRS reports for that, maybe the bank did.
I bought a car a few years ago half cash, half financing. The dealer sent me a letter stating that they notified the IRS under their obligation to report cash transactions over $10K.
I remember a story of a guy being busted who ran a business, bought his $500k house in cash, his half dozen trucks in cash, and yet paid almost nothing in taxes. The thought was, "I'll under-report my income, and pay everything all in cash so they can't trace anything!" Except for the fact that transactions over $10K get reported to the IRS, not to mention all of the property to various agencies which circle back to the IRS.
People who have a least a clue what could go wrong tend to also realize they probably aren't seeing other ways for it go wrong, as well.