Billions in unpaid taxes could help states fill budget holes, report says

By: Kevin Hardy

Outlets: Stateline

Published: April 7, 2026

Words: 424

Last Updated: 3 months, 3 weeks ago

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Though states are missing out on billions in unpaid tax dollars, few have any mechanism to measure how much is being lost, according to a new report.

The so-called tax gap — the difference between the taxes legally owed to the government and the amount paid — receives scant state attention, researchers from The Pew Charitable Trusts said in a report released Tuesday. That gap includes taxpayers who should file but do not, those …

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