How To Rat Your Friends And Neighbors Out To The IRS

Although it seems as though the Internal Revenue Service is an all-seeing entity that never lets a tax dollar it’s got coming slip away, the organization sometimes relies on the public to be its eyes and ears. Those who see tax cheating going on can report the issue to the IRS, which can investigate the cases and even hand out rewards of up to 15 percent of its take to the whistleblowers.

We reported on the program in 2007, but now it’s proven to be lucrative. The Wall Street Journal reports the IRS handed out its largest-ever reward this spring, giving $4.5 million to an anonymous retired accountant.

Before you go out scouting for tax cheats in an attempt to make your millions, bear in mind that IRS cases can take years to conclude, and that it doesn’t protect whistleblowers from retaliation.

If you care to try your hand at playing tax ranger, you can call 1-800-829-0433 and will want to fill out this form (PDF) and send it to:

Internal Revenue Service
Whistleblower Office
SE:WO
1111Constitution Ave., NW
Washington, D.C. 20224

How to Turn In Your Tax-Cheating Neighbor [The Wall Street Journal]