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Publication: European Stars and Stripes Monday, May 1, 1978

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   European Stars and Stripes (Newspaper) - May 01, 1978, Darmstadt, Hesse                                Poge 20 the stars and stripes monday May 1. 1978 tax of eating is it growing by John Holusha Washington Star e Ahlva last year a few Banks began uttering what they called Honor Bonds Deposit certificate with the thinly veiled tax Dodge that no report Otin Terest earnings would be made to  response acc Ling to the Pennsylvania banking commissioner was  within Days after the program began depositors were pouring Over 1 million a Day into the two Small Philadel phia area Banks offering the Bonds. In one Case the Bank actually ran out of pieces of paper on which they could imprint the amount of the. Bonds commissioner William e. Whitesell said. Fris moved fast to squelch the scheme but not before the Strong impression was registered that there Are a lot of americans eagerly looking for a Way to Duck the tax collector. That impression is backed by a number of studies thai indicate billions of dollars of income in Goinga taxed. The Commerce department s Bureau of economic analysis totals up All the interest and dividends that have been paid out during a year. Then it compares the figures with those reported on income tax forms. Every year there is a Gap Between what was paid and what was reported and taxed. In 1174, the last year that figures Are available this unexplained Gap amounted to $2.9 billion for dividends and u3 billion for interest or As much As $19.2 billion in untaxed income. Assistant Treasury Secretary Stanley Lubic conceded to a mouse subcommittee a few weeks ago that the unexplained Gap could be costing tax Coffen As much As i billion. Another approach was taken by prof. Peter Gutmann of City University of new York. Gutmann studied the amount of Cash in the Economy As a ratio of checking de posits on the theory that tax cheating is More Likely when Cash rather than traceable checks changes hands. Omy Gutmann found that the proportion of Cash in the econ a has increased Back to the highs of the late world babe in th8 Woods War ii period when Black markets flourished. He concluded that what be called the lob ten Nean Economy of unreported Cash income could be As big As 10 percent of the Economy or a stagger of j Gutmann s figures have been challenged but his t. Ment that there is a secret untaxed Cash Economy in o Era ton has gained supporters. Michael Evans operates a massive computer Model of the whole dec my notes that Money seems to be disappearing. "0 theory be says is that individual americans Oren turning to self employment As a Means of support and not reporting the income to the  is is reacting cautiously to the notion that More i More americans Are cheating on taxes. We Don t know the actual amount of the Gap but it is troublesome a spokesman said. Be less the tax collectors Are sufficiently concerned i they have launched taxpayer compliance measure programs designed to find where the unreported Iare. Irs official by k would limply be too costly and i oppressive on the population to impose system of withholding for every bit w income. Instead they rely of their ability to Loreu Vety examine a Small Sample of toe returns died As a mean of keeping everyone else relatively Bonert. Some of these people who think they Are beating i system in the Short haul Are not going to win in the to haul says Bernard median of frs s audit division there Are assets accumulating they la be found at Point even if it is not until the estate is  another irs official noted not unhappily people who get caught in tax evasion usually end i bankrupt. They have to pay All at once for the acc Mii lated cheats of the past plus interest plus  at wits end people do superhuman things in time of stress. You re always Reading about now id Pound woman rushed into a burning building and  res cued a 200-Pound, unconscious nun. Or Bow a Man lifted a two Ion tractor off his faithful dog Shep and did t even realize it. 1 not Only understand the phenomenon i participate la it of. Nothing so dramatic that it gets reported in the newspapers but still enough to astound and amaze my who moved the Freezer he asked the other   it s not possible he said. All things Are Amible Ubea Yea drop Yore a key behind them. I com leak it by More Aad crawl on my Hudi we axes out to the end of a Jet Coln i wart if my car keys were a Attef  i Don t understand something he said. Why is it you can t press together a clasp at the top of the Zipper on your dress but you can move i Freezer simple. It s called the Superman stress principle motivation overcomes your ignorance of  "1 never heard of  that s funny. You use the Superman Streu Prin Ciple All the time. Remember last Namer when to loaded your boat on tap of the station woo by Yoor self but when i used pm to Duee with me l Ike picnic Yon sold Yon bad a bad Back a Moo. Kids use it too. Your son can press 200 pounds in class. 1 asked him to take the garbage cans to the the other night and he made a Furrow in our grass in  would take three men to move that thing  try the Superman stress  i can t. You need stress to have it  try sleeping for a week in a Recliner chair i an afghan Over your  Wall is West cow . Roc  
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