Senators propose bill to strengthen IRS whistleblower progra

Senators propose bill to strengthen IRS whistleblower program


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Sen. Chuck Grassley, R-Iowa, and Ron Wyden, D-Oregon, who chairs the Senate Finance Committee, introduced a bipartisan bill Tuesday to beef up the Internal Revenue Service’s whistleblower program and protect tax tipsters.
The
IRS Whistleblower Program Improvement Act includes seven measures to bolster the already successful program, which has brought in over $6 billion from individuals and businesses that were trying to avoid taxes. The
bill would provide for “de novo” review in appeals heard by the U.S. Tax Court, permitting new evidence to be admitted to the record, and providing a presumption of anonymity for whistleblowers before the court. The legislation would also exempt whistleblower awards from congressional budget sequestration measures, which could reduce the amounts, and provide that interest be paid to awardees if the award has not been paid within one year. It would also bring the tax treatment of attorney’s fees into line with other whistleblower programs, and permit the IRS to retain some proceeds for the administration of the program. Lastly, the bill would improve the program’s annual report to Congress to enable lawmakers to identify areas that are most in need of attention.

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