Comment by II2II
1 day ago
> It's the same reason the IRS gives you a spot to declare your bribes and other illegal income.
The California example makes sense. They aren't asking a question that would lead to the admission of a crime. The IRS example doesn't make sense, since they are asking a question that would lead to the admission of a crime. Even if the answer was legally protected, a government who does not respect the law (or one that changes the law) could have nasty repercussions.
The accepted legal method of declaring illicit gains on your tax documents is pleading the 5th amendment for specific questions related to the source of the funds. Fun fact, you can also take deduct business expenses for many expensees related to illegal activities if you otherwise qualify for them, for example legal fees. There are specific restrictions but they are surprisingly narrow.
The IRS doesn’t ask for specifics so I don’t think it’s legally an admission of a crime. Saying “I took a bribe” doesn’t make you legally guilty of taking a bribe. You’d have to say when, from who, and for what.