Who Can Be an IRS Whistleblower
Anyone who makes a “substantial contribution” of information about a tax underpayment is eligible to receive an award under the IRS Whistleblower Program. Former and current executives, managers, and employees are eligible to receive a reward under the IRS Whistleblower Program.
Whistleblowers can be located anywhere in the world. Informants do not need to be U.S. citizens to receive an award under the IRS Whistleblower Program.
The IRS looks for solid information from a whistleblower—not unsupported speculation—involving significant federal tax fraud. The IRS has emphasized that whistleblowers should use the IRS’s whistleblower program to report significant tax issues, not to address personal disputes with a taxpayer or disputes about a business relationship.
Anyone who has information concerning significant tax fraud can be an IRS whistleblower. While there are various forms of tax evasion and fraud, the IRS has focused on:
- Misrepresentation of income
- Tax evasion schemes
- Improper and unlawful reporting of income
- Accounting fraud violations
- Improper deductions
- Improper use of foreign tax credits
There are many substantive differences between the IRS Whistleblower Program and the government’s whistleblower programs under the Federal Claims Act and Dodd-Frank Act. Because of the IRS Whistleblower’s specific procedural requirements, IRS whistleblowers should retain an experienced counsel.
If you have information concerning tax fraud and want to know your rights as an IRS whistleblower, the attorneys at Bernstein Liebhard can help. Our attorneys will help you navigate the IRS Whistleblower Program to ensure that you comply with the program’s requirements. Contact Michael S. Bigin or Laurence J. Hasson for more information.