I know it sends notification of the report, reason, post, w/e to mods, but is it to just community mods, or also your instance mods and/or the community's instance mods and/or the reported person's instances mods?
Yeah, I mean it makes sense. You might need to report a comment to the mod of the community. But if it's say an instance issue (spam or certain NSFW type) the admin of the instance you are a member of might need to be notified to de-federate in extreme circumstances.