How to Submit a Whistleblower Claim
For a whistleblower claim to be seriously considered, it must contain specific, timely, and credible information. A whistleblower usually qualifies for an award when the IRS uses the information and is able to collect proceeds because of it. Generally, the awards paid to whistleblowers range between 15 percent and 30 percent of the proceeds collected and attributable to their information.
To submit a whistleblower claim, an individual must use IRS Form 211, Application for Award for Original Information. The whistleblower must also include a description of the alleged tax noncompliance, including a written narrative explaining the issue, along with information to support the narrative, such as copies of books and records, ledger sheets, receipts, bank records, contracts, emails, and the location of assets. The claim must also contain a description and the location of documents or supporting evidence not in the whistleblower’s possession or control, as well as an explanation of how and when the whistleblower became aware of the information that forms the basis of the claim.
The whistleblower must also present a description of their current or former relationship (if any) to the subject of the claim (e.g., family member, acquaintance, client, employee, accountant, lawyer, bookkeeper, customer). And finally, the whistleblower must include their original signature and the date of signature. That information should be mailed to the IRS Whistleblower Office (Internal Revenue Service, Whistleblower Office – ICE, 1973 N. Rulon White Blvd., M/S 4110, Ogden, UT 84404). The Whistleblower Office is currently working on a digital submission portal for whistleblower claims, which it plans to have online in 2025.
A Nice Perk, Not a Full-Time Gig
As tax professionals who have been practicing in the tax controversy space for many years, we regularly see individuals who try to make IRS whistleblowing into their profession. They are constantly looking for businesses or other individuals who may be committing tax fraud either through their own filings or their promotion of fraudulent tax schemes. We equate these individuals to those who play the Mega Millions, hoping to hit the jackpot.
Don’t Be Afraid to Ask for Help
If you are considering submitting information to the IRS Whistleblower Office but are not sure how to proceed, consider talking with an experienced tax attorney or professional who can listen to your facts and circumstances. The tax attorney or professional can help you complete Form 211 or advise you whether it may or may not be considered valuable information to the Whistleblower Office.
Now, go out there and catch some bad guys!