I think most of us pay tax on all our earnings. At least the ones I call my friends do.
Never have understood that comment that appears routinely by Johns, almost never by escorts, who talk to professionals or other ladies who get professional advice, or simply think things through.
Now I am sure most escorts shave some off the top, especially tips and upsells and extensions, with that cash being spent instead of deposited.
But there is an electronic calendar, emails, and most importantly bank deposits. For the unwise escort who has a cash hoard hidden in her closet, there is so much paperwork that has to be filed that most sellers will run the other direction if someone wants to spend cash. If the cash is accepted and reported, the government wonders where the cash came from if little or no income has been reported on tax returns. Any basic tax auditor can discover this type of unreported income quite easily. Why would a lady run ads and have a nice apartment (maybe two apartments) and drive a nice car if she has no income? Why so much credit card spending on Uber?
Another common misconception is that illegal income can’t be reported on an income tax return without risk of prosecution for the underlying crime. The opposite is true. Illegal income must be reported on an income tax return, and if properly reported, it cannot be used as evidence of other crimes in the tax systems of most Western countries.
Even in the U.S., which is the subject of so much mis-information, most escorts who have done time (other than street hookers) did so for financial crimes. The Maine Zumba instructor did welfare and tax fraud by not reporting income, and tax fraud was the charge against the famous Stanford lawyer sex worker who hid cash in her hollowed out law textbooks and personal law library. Not sure what Canada’s search and seizure rules are (I know they are not as bad as the U.S.) but touring ladies in the U.S. always complained about the risk of the police in the town they toured investigating them at the end of the tour, taking the cash they found, and of course never charging them. They would have to sue to get the cash back, which wasn’t realistic. So they deposited the cash regularly, and those deposits need to be reported on a tax return. I suspect Canada has an asset forfeiture system as well, although I doubt if it as mis-used as the one in the U.S.
