Tax evasion in the United States expenditures throughout the tax year. The IRS then compares the increase in net worth and the cash expenditures with the reported taxable income over time in order to determine the legitimacy of the taxpayer's reported income. The net worth method was first used in the case of "Capone v. United States". The cash method was approved in 1989 in "United States v. Hogan". First approved by the Eighth Circuit in 1935 in "Gleckman v. United States", the bank deposit cash expenditure method identifies tax evasion through review of the taxpayer's bank deposits. This method of investigation primarily focuses on whether
UBS tax evasion controversies enabling tax avoidance. In February 2015, UBS announced that it was being investigated by the Office of the U.S. Attorney for the Eastern District of New York and the Securities Exchange Commission over new allegations that UBS facilitated tax evasion by its U.S. clientele. The focus of the investigation is the possible sale of bearer bonds. Bearer bonds are a type of unregistered security that provide a degree of anonymity to the owner as they can be transferred anonymously when held in paper form, thus enabling tax evasion as such transfers would allow the owner to conceal their financial assets.