Are tax fraud cases the same as qui tam cases?
No. Claims for tax fraud are barred under the FCA. However, the Tax Relief and Health Care Act of 2006, codified at 26 U.S.C. ยง 7623, includes a whistleblower provision. Specifically, Section 406 of the Act allows whistleblower rewards for individuals who provide information about tax law violations that involve tax, penalties, and interest of over $2 million dollars by an individual whose annual gross income exceeds $200,000.00. The reward is between 15 and 30 percent of the collected proceeds if the IRS moves forward with an administrative or judicial action.
