As you can imagine, tax cheats cost the government a fortune in lost revenue.
According to estimates issued by the IRS, tax evasion cost the federal government on average $458 billion per year for the years 2008 through 2010.
Think of how we could have used that $458 billion rather than let it line the pockets of tax cheats!
If you are paying your fair share of taxes and are disgusted by selfish cheats who think only of themselves, there is something you can do.
The IRS pays citizen whistleblowers millions of dollars in commissions every year for reporting on colleagues and clients who are, in effect, stealing money.
The recipient of a biggest reward made to a member of the public so far is Bradley Birkenfeld. The IRS paid him $104 million for information on how Swiss bank UBS helped its clients evade U.S. taxes.
But it’s unusual to know anything about a whistleblower because the IRS generally keeps such information totally confidential. Also, because of the confidentiality, there could be awards far larger than that paid to Mr. Birkenfeld.
If you have ever thought about reporting someone for cheating on taxes—or if you’re concerned that someone will report you (perhaps falsely!), read this article for more information. ... Log in to view full article.