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How did gangsters get caught for tax evasion? Doesn't admitting the $ constitute self incrimination?

A lot of prohibition gangsters got put away for tax evasion (Al Capone for one). How did the government get around the fact that to admit profits from illegal activities would mean admitting to the illegal activities? Am I wrong here? or is that why gangsters nowadays (look at TV shows like the Sopranos) now have shell corporations and legitimate seeming jobs like Waste Management Consultant?

Asked By: Pepito111 - 12/19/2008
Best Answer - Chosen by Asker
You do not have to describe the source of the income on a tax return.
Answered By: laughter_every_day - 12/19/2008
Additional Answers (3)
Al Capone never took the stand. He had books that were seized in raids and the translated by the book keepers. Prosecutors were able to show money going to Capone that he never claimed on his taxes.
Source(s):
Answered By: AJ - 12/19/2008
 
They have the right to not self-incriminate, that doesn't mean it's inadmissible if they self-incriminate anyway.
Answered By: - - 12/19/2008
 
Well, until they were caught in the 1930's they were incorporated as for profit enterprises until they found out there books could be used. Today they use non-profits that only have to file at some point, and almost immune to tax evasion & other accounting laws.
Answered By: Steve qa - 12/19/2008
 
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