Taxpayers who give the IRS Whistleblower Office (WBO) information may get cash awards. To be eligible, tips must be credible, specific, relate to tax underpayments or tax law violations, and lead to collection of proceeds exceeding $2 million. One tipster submitted claims relating to seven taxpayers, alleging that each may have failed to report income up to $3 million. But the WBO found that each claim relied on publicly available information and didn’t reach the $2 million threshold for mandatory awards. Most of the claims were dismissed, but the tipster prevailed on one claim, resulting in a $1,694 award. The U.S. Tax Court ruled the WBO didn’t abuse its discretion. (TC Memo 2024-61)
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