STEALTH: Simulating Tax Evasion And Law Through Heuristics

Through the use of partnerships and other "flow-through entities", taxpayers underreported more than $91 billion of income annually between 2006 and 2009 (GAO-14-453), and the trend shows little sign of stopping. The goal is to reduce the prevalence of tax non-compliance.

STEALTH allows us to process sequences of transactions which all accomplish the same economic purpose, but can result in wildly different tax consequences. By applying an artificial intelligence approach, we can identify observables which may indicate the presence of non-compliant behavior.