WASHINGTON, D.C. | February 9, 2018—The Bipartisan Budget Act of 2018, approved today by the U.S. Congress, included two key whistleblower-rights amendments initially introduced by Senator Charles Grassley (R-IA). These amendments ensure that employees who blow the whistle on criminal tax fraudsters are covered under the IRS whistleblower law, and end the double-taxation of whistleblower awards under the Dodd-Frank Act.
Get the latest news, stories, and cases on tax whistleblowers in the U.S. and internationally.
Picture this: while at work you become aware of conduct that you believe is unethical, illegal, or qualifies as government waste, fraud, or abuse. You decide you want to blow the whistle. But before you act, be careful! Most corporate and government networks log traffic. Your work computer and phone are not private. When you use a company or department computer, assume everything you do is monitored. These computers are an easy way for your employer to determine you are the whistleblower.
Continue Reading Whistleblowers Beware: Your Work Computer Is Probably Monitored
Washington, D.C. December 16, 2017. The final version of the Tax Cuts and Jobs Bill has eliminated two key provisions to protect whistleblowers who report major criminal tax frauds.
The National Whistleblower Center today issued an Action Alert asking the American public to oppose the tax bill based on the elimination of these two critical anti-fraud protections.…
Continue Reading Key Whistleblower Protections Cut from Tax Reform Law, Criminal Fraudsters Protected
Criminal Tax Fraudsters Protected Under Trump Tax Law.
Washington, D.C. December 16, 2017. The final version of the Tax Cuts and Jobs Bill has eliminated a key provision that would have protected whistleblowers who report major criminal tax frauds.…
Continue Reading Whistleblower Reforms Cut from Final Tax Bill
Washington, D.C. November 15, 2017. Senator Charles Grassley (R-IA) has put forth two amendments to the Tax Cuts and Jobs Bill that are important to whistleblowers.
The major amendment addresses an issue that has been the subject of previous posts, defining the term “collected proceeds” in I.R.C. section 7623(b). The IRS and Department of Justice have taken the position whistleblowers who report criminal tax frauds, such as the numerous crimes committed by the largest Swiss banks, cannot obtain a whistleblower reward. They have argued that whistleblower rewards should not be paid on any criminal fines.…
Continue Reading Proposed Grassley Amendment Important for Whistleblowers
On Tuesday, October 17, 2017, Senator Charles Grassley and the Securities and Exchange Commission joined the National Whistleblower Center in supporting the whistleblower in Digital Realty Trust v. Somers (No. 16-1276) by filing amicus briefs with the U.S. Supreme Court.…
Continue Reading Senator Grassley and SEC Join NWC in Filing Amicus Briefs in Critical Supreme Court Case
The Justice Department is appealing the Tax Court’s decision in Whistleblower 21276-13W v. Commissioner and Whistleblower 21277-13W v. Commissioner, 147 T.C. No. 4 (2016). This case arose after two courageous whistleblowers stood up to the Swiss banks and exposed how the banks helped U.S. millionaires and billionaires illegally evade taxes. These whistleblowers won a hard fought victory in Tax Court—which ruled that whistleblowers who report criminal violations of the tax laws are fully protected under the IRS whistleblower program.
Prior to this decision, there was ambiguity about whether “collected proceeds” from criminal violations would be included in calculating IRS whistleblower rewards. The consequences of this Tax Court decision on the issue are massive. The largest tax fraud cases inevitably include criminal fines and penalties, and are often primarily criminal in nature. If criminal violations were excluded from the whistleblower reward calculation, the IRS program would not incentivize those whistleblowers with the most important information about the largest tax evasion schemes to report violations.
Sen. Chuck Grassley and Sen. Ron Wyden today introduced critically needed legislation to protect IRS whistleblowers from workplace retaliation. The National Whistleblower Center strongly believes that this legislation is crucial to effectively prevent honest employees from having their careers destroyed, simply for doing the right thing.
Continue Reading New Legislation to Improve IRS Whistleblower Protections
In a press release issued today, attorneys for a husband and wife tax fraud whistleblowers, expressed optimism that President Trump’s pick for Secretary of Treasury Steve Mnuchin would show support for the IRS Whistleblower Office by not appealing a the Tax Court’s decision in Whistleblower 21276-13W v. CIR (147 TC 4).
The full press release is reprinted below: …
Continue Reading IRS Whistleblower Advocates Hopeful New Administration Upholds “Collected Proceeds” Tax Court Decision
January 19th, 2017, today, the Senate Finance Committee held a hearing to consider President-Elect Trump’s pick for the Secretary of the Treasury, Steven Mnuchin. The National Whistleblower Center asked its supporters to insist that the Senators of the Finance Committee use the hearing to find out whether or not Mr. Mnuchin was committed to protecting whistleblowers who report to the IRS.
Continue Reading Trump Treasury Nominee Answers on Tax Whistleblower Issue