What is the difference b/w tax evasion and failure to file tax return?

Question

Do states and IRS have the same view on this issue?

Answer 1

In my opinion, states and the IRS have the same view of tax evasion since many state tax returns begin with the Adjusted Gross Income number from the Federal tax return.

Tax evasion is an illegal effort to not pay taxes on any of your income.  For example, not reporting tips as income, running a business and not reporting all of your sales or overstating your expenses.  As you see, tax evasion can take place even when a tax return is filed.

Failure to file a tax return is exactly that.  Not filing a tax return.  People that pay taxes sometimes don't file tax returns for various reasons.  For example, they don't know how to file the tax return or just forget to file the tax return.

Answer 2

Years in jail.