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07/16/25 | Articles and TV
Ten Simple Rules for Presenting Tax Whistleblower Claims
Whistleblowers can receive awards for reporting on tax violations under the IRS Whistleblower Program and under state programs, including under some states’ False Claims Acts. The programs receive large numbers of submissions, so it is essential to present the claims well so that the government can recognize the importance and value of your claim.
Here are ten rules that maximize the chances of a successful claim:
1. Describe specific violations by specific persons/businesses. The government needs to know whom to target and why. A high-quality whistleblower submission will share that information clearly and concisely at the very start of the submission.
2. Emphasize that the violations are recent or ongoing. Time is of the essence for tax whistleblower claims. The IRS, in particular, is very focused on the last several tax years, and it is not inclined to look farther back in history.
3. Map out how the claims can be proved and where the evidence is. The audience is tax investigators, so you should put yourself in their shoes and describe what steps you would take to prove the claims if you have audit or subpoena power.
4. Describe any basis for claiming the target acted willfully/knowingly. While the IRS does not require that the tax violations were done with knowledge, several state programs do. Either way, the claim will be more compelling if you can demonstrate that the targets knew at the time that they were breaking the rules.
5. Realistically assess the claim's value, and do not bring small-value claims. The government investigators will want to have a sense of how much is at issue, and how you derived that amount. Do not destroy your credibility by exaggerating.
6. Do not rely on speculation or wishful thinking. Investigators want concrete information that they can act upon. While a whistleblower might not have every fact, they should have enough concrete facts to believe there have been specific violations.
7. Establish why you are credible and how you got your information. To an investigator, you are a source and maybe a witness. They will be evaluating your credibility from the start. You should establish your credibility by being clear about what you know, the quality of your information, and how you know it.
8. Do not disclose the target's attorney-client privileged information. Investigators’ red flags will go up if you disclose information that might be protected from disclosure by target’s attorney-client privilege or similar protections. If any of your information is based on communications with the target’s counsel, work through what might be privileged before making your submission.
9. Do not be "over the top." One of the easiest ways to lose credibility is to over-sell the claims. Investigators hear from too many people that their claim is the most valuable claim ever, when it clearly is not. It is much better to stick to the facts.
10. Hire an attorney who follows rules 1-9. Government investigators want to work with lawyers who are promoting solid, supportable claims, and not who are just making a hard sell, and they learn quickly who’s who. A claim submitted by diligent, careful, and precise counsel should get a better reception.
Here are ten rules that maximize the chances of a successful claim:
1. Describe specific violations by specific persons/businesses. The government needs to know whom to target and why. A high-quality whistleblower submission will share that information clearly and concisely at the very start of the submission.
2. Emphasize that the violations are recent or ongoing. Time is of the essence for tax whistleblower claims. The IRS, in particular, is very focused on the last several tax years, and it is not inclined to look farther back in history.
3. Map out how the claims can be proved and where the evidence is. The audience is tax investigators, so you should put yourself in their shoes and describe what steps you would take to prove the claims if you have audit or subpoena power.
4. Describe any basis for claiming the target acted willfully/knowingly. While the IRS does not require that the tax violations were done with knowledge, several state programs do. Either way, the claim will be more compelling if you can demonstrate that the targets knew at the time that they were breaking the rules.
5. Realistically assess the claim's value, and do not bring small-value claims. The government investigators will want to have a sense of how much is at issue, and how you derived that amount. Do not destroy your credibility by exaggerating.
6. Do not rely on speculation or wishful thinking. Investigators want concrete information that they can act upon. While a whistleblower might not have every fact, they should have enough concrete facts to believe there have been specific violations.
7. Establish why you are credible and how you got your information. To an investigator, you are a source and maybe a witness. They will be evaluating your credibility from the start. You should establish your credibility by being clear about what you know, the quality of your information, and how you know it.
8. Do not disclose the target's attorney-client privileged information. Investigators’ red flags will go up if you disclose information that might be protected from disclosure by target’s attorney-client privilege or similar protections. If any of your information is based on communications with the target’s counsel, work through what might be privileged before making your submission.
9. Do not be "over the top." One of the easiest ways to lose credibility is to over-sell the claims. Investigators hear from too many people that their claim is the most valuable claim ever, when it clearly is not. It is much better to stick to the facts.
10. Hire an attorney who follows rules 1-9. Government investigators want to work with lawyers who are promoting solid, supportable claims, and not who are just making a hard sell, and they learn quickly who’s who. A claim submitted by diligent, careful, and precise counsel should get a better reception.
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