What if I don't file tax returns, and let the IRS bill me?

[Thos. A.]

I have around $5m in real estate, mostly small rentals and houses I've sold on terms. I have so many varied deals--Sub2, sandwich leases, houses sold on CD, timber sale income, flips, interest from private loans...then there are all the receipts for expenses, 1099s for workers, 1098 for buyers and from banks, organizing the data to be entered, tax planning, the list goes on and on. Of course I have a bookkeeper, and a CPA who does my taxes which helps.

I spend so much time on tax-related stuff that I got to wondering...what if I ignored the rules completely, kept all my receipts, but just focused on deals, and didn't file any returns at all? Yes, I'd surely get audited eventually. Let's say the IRS audit me and present me with a bill including penalties for, I don't know, say $200,000. Then I just pay it, and go back to work and make it back in a few months. Or what if I just made the recommended quarterly estimated payments, but never actually filed returns?

I know I'd be at their mercy, but something about this makes sense, just let them send me a bill, even if it's biased in their favor. Does anyone know someone who did this? I'd love to hear what happened.