For the past 10 years, since the enactment of the IRS Whistleblower Office, the IRS has recovered over $3.4 billion because of information submitted by whistleblowers. Out of that sum, $465 million was awarded to whistleblowers. Read Moreabout The IRS Whistleblower Program Completes Its Tenth Year
Perspective on the Tax Gap and the Underutilized IRS Whistleblower Program
In an April 2016 study released by the IRS, the government reported that an average of $406 billion in taxes was not collected each year between 2008 and 2010. The IRS euphemistically calls this the “tax gap,” i.e., the difference between what taxpayers owe and what they actually pay.
What does the tax gap mean to the average taxpayer? Read Moreabout Perspective on the Tax Gap and the Underutilized IRS Whistleblower Program
Billions in Recoveries For Qui Tam Whistleblowers
More than $30 billion has been recovered in Federal civil actions under the False Claims Act (“FCA”) since the statute which originated in the Civil War era, was amended in 1986 to provide enhanced rewards and protections for qui tam whistleblowers.
In fiscal year 2014, $5.69 billion in fraud against the government was recovered for taxpayers. Most of these cases were brought by qui tam relators, whistleblowers who come forward with their qui tam attorneys to report alleged fraud, and can receive 15-to-25 percent of the recoveries. This was another record year for Federal False Claims Act recoveries, according to the U.S. Department of Justice.
Without qui tam whistleblowers, billions of dollars of fraud payments or demands for payment hidden from the Government would have gone unnoticed. This stolen money would have remained in the pockets of individuals and entities responsible for the frauds, but courageous whistleblowers stepped up to return defrauded dollars to the U.S. Treasury and, as a result, shared in those recoveries.
Read Moreabout Billions in Recoveries For Qui Tam Whistleblowers