The Federal Government seems to have a new way of catching criminals. The Internal Revenue Service says that if you stole a car, accepted a bribe, or involved in any other illegal activities which provided you with income, you must report it when you file your taxes.
In an online list of requirements titled IRS Publication 17, the IRS says, “income from illegal activities, such as money from dealing illegal drugs” must be included on a taxpayer’s 2021 filings. It is to be included in Schedule 1 (Form 1040), line 8z, or on Schedule C (Form 1040) if from a self-employment activity.
Fox News reports that the IRS also noted that thieves must report the value of the goods they stole, unless the goods are returned to the “owner in the same year.”
“If you steal property, you must report its fair market value in your income in the year you steal it unless you return it to its rightful owner in the same year,” the IRS stated.
The requirements also made clear that if you receive a bribe, you must “include it in your income” and said that taxpayers must also “include kickbacks, side commissions, push money, or similar payments” on Schedule 1 or Schedule C.
