How Do You Report Suspected Tax Fraud Activity?

According to IRS.gov, you can whistleblow on wide range of wrongdoings that you may not be aware of, see list below:

1. If you suspect or know of an individual or a business that is not complying with the tax laws on issues such as False Exemptions or Deductions; Kickbacks; False/Altered Document; Failure to Pay Tax; Unreported Income; Organized Crime; or Failure to Withhold.

2. If you suspect someone stole your identity and used your SSN for employment purposes or could use your SSN to file a tax return.

3. If you suspect fraudulent activity or an abusive tax scheme by a tax return preparer or tax preparation company.

4. If you suspect a tax return preparer filed a return or altered your return without your consent and you are seeking a change to your account.

5. If you suspect an abusive tax promotion or promoter.

6. If you suspect misconduct or wrongdoing by an exempt organization or employee plan.

7. If you have information and want to claim a reward.

8. If you suspect you received or are aware of fraudulent IRS e-mails and websites.

After you figure out the category to whistleblow under, you need to choose from one of the eight IRS forms to fill out and mail it in. The IRS said late last week that it paid whistleblowers $53.1 million, down from $125.4 million in 2012.  No wonder the IRS has only paid out $53 million in 2013 because the process and Government forms do not make sense.  Don't worry...over the next couple of blogs I will walk through the process step by step, so you can do the right thing and whistleblow on an individual or company that is not following the law.

 “Good people do not need laws to tell them to act responsibly, while bad people will find a way around the laws” ― Plato

 “Justice will not be served until those who are unaffected are as outraged as those who are.” ― Benjamin Franklin

 Related Links:  http://www.irs.gov/Individuals/How-Do-You-Report-Suspected-Tax-Fraud-Activity%3F

http://www.reuters.com/article/2014/04/07/us-usa-tax-whistleblower-idUSBREA361V920140407