Posted on March 28, 2007 by LaBovick Law

The IRS is paying more to turn in tax cheaters

Smart Money magazine article summed it up appropriately in their headline: The IRS is paying more if you turn in your friends.  The author, Lisa Scherzer, contacted a few law firms that publish  qui tam blogs and handle qui tam and tax fraud issues. Our very own, Brian LaBovick, former U S Attorney for the Department of Justice, Managing Partner, LaBovick LaBovick & Wald, and publisher of the Whistleblowerlawblog was quoted as saying "You have to come to the government with new and valuable information. The more information you have, the better the results of your recovery."  Other other qui tam attorneys and qui tam bloggers were:  Michael Finch, The Whistleblowerlawyerblog, and Paul Scott, Taxwhistleblowers.org.

The Smart Money article highlighted the fact that if your employer, co-worker, landlord, neighbor or father-in-law is raking in fistfuls of cash and bypassing Uncle Sam, you can anonymously report the abuse to the IRS and snag a windfall from their dishonesty. As long as the total amount of tax fraud comes out to at least $2 million (including penalties, interest, and whatever else the government ultimately collects based on your report), you can get a 15% to 30% cut.

Click Here to read more on the Smart Money magazine article covering the IRS and tax cheaters.

 

 

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Posted on March 28, 2007 by LaBovick Law

Tax fraud costs government $100 million

Poorly written Justice Department documents cost the federal government more than $100 million in what was supposed to have been the crowning moment of the biggest tax prosecution ever. Walter Anderson, the telecommunications entrepreneur who admitted hiding hundreds of millions of dollars from the IRS and District of Columbia tax collectors, was sentenced to nine years in prison and ordered to repay about $23 million to the city.

U.S. District Judge Paul Friedman stated he could not make Anderson repay the federal government $100 million to $175 million because the Justice Department's binding plea agreement with Anderson listed the wrong statute.

Channing Phillips, a spokesman for the U.S. attorney's office, said the government would bring civil charges against Anderson.  "The IRS still has ample civil remedies available to recoup the money which are, in some respects, more efficient and quicker," Phillips said. "

Click here to read more about this subject on WahingtonPost.com

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