Tis the Season to be Thankful, So let's be Glad this Proposal has had no Further Actions

Posted by TaxTalent 2 Years Ago | 0

A few months back, we released an article notifying you of new legislation that had been introduced in June by Senators Chuck Grassley and Ron Wyden. The intention of this legislation was to strengthen the IRS’ existing whistleblower protections. You can view the article and bill here. (https://bit.ly/3s9JvUT)

While the legislation was only introduced into the House and has since not had further actions, the recent annual report by the SEC to Congress (https://bit.ly/3FEDyog) shows some astonishing data regarding whistleblower rewards for 2021.

The report states that 2021 holds “the highest number of awards, both in terms of dollars and individuals awarded, and the largest number of whistleblower tips received. More significantly, the Commission made more whistleblower awards in FY 2021 than in all prior years combined.” Total, there was a 76% increase from 2020 in the amount of whistleblower tips received, and a 300% increase since the start of the program.

This trend towards whistleblower rewards being increased is an ominous indication of what might come as we broaden the IRS protection bill for tax purposes. It will be interesting to see how this plays out and we are curious as to what your thoughts are. Let us know in the comments below.