As shown in the ranking of activities found in the online database «Havocscope» a lot of money moving in underground economy activities. Some of these activities in which more money is moving are: (9)
- Illegal Gambling $250.1 Billion
- Counterfeit Drugs $200 Billion
- Prostitution $187.67 Billion
- Marijuana $141.80 Billion
- Counterfeit Electronics $100 Billion
- Cocaine $85 Billion
- Prescription Drugs $72.5 Billion
- Heroin $68 Billion
- Software Piracy $58.8 Billion
- Gas and Oil Smuggling $53.64 Billion
- Cigarette Smuggling $50 Billion
- Counterfeit Foods $49 Billion
- Counterfeit Auto Parts $45 Billion
- Counterfeit Toys $34 Billion
- Wildlife Smuggling $32 Billion
- Human Trafficking $32 Billion
- Amphetamines $28.25 Billion
- Movie Piracy $25 Billion
- Illegal Fishing $23.5 Billion
- Human Smuggling $20 Billion
- Ecstasy $16.07 Billion
- Illegal Logging $15 Billion
- Music Piracy $12.5 Billion
These are illegal activities and the most important is illegal gambling, as we can see in the ranking. In this activity the tax fraud is $250.1 billion, a lot of money. The next activity is counterfeit drugs with also a big quantity of money. More activities are prostitution, commercialization of marijuana, counterfeit electronics…
Some people would rather operate a “legit” business but also make some “underground money”. Some of these other methods of cash income involve “side income” within a legitimate, registered business. Some prime businesses for doing this would include restaurants and bars (classic examples of businesses infused with a great deal of hard-to-track cash transactions) as well as peripheral cash-only businesses such as Laundromats, self-serve car washes, and vending machine routes. These all require some sort of initial investment – including a lease. But if one has a business such as these, there’s a lot of wiggle room in what is reported. A lot of room to stay in the underground economy.
But for people with little or no assets to begin with, there are still many options. (4)