The IRS does not provide an online reporting process for issues relating to tax fraud. The IRS generally requests that forms be completed online or by hand, then printed and mailed directly to the Internal Revenue Service. The IRS provides comprehensive instructions for reporting and mailing suspected tax fraud activity at: https://www.irs.gov/individuals/how-do-you-report-suspected-tax-fraud-activity1.
Tax whistleblowers seeking a reward are required to complete Form 211, Application for Award for Original Information. Whistleblowers may not submit this form electronically or by facsimile2.
Rather, whistleblowers must mail Form 211 to:
Internal Revenue Service
Initial Claims Evaluation Team
1973 N. Rulon While Blvd.
M/S 4110
Ogden, UT 84404
Whistleblowers should note that in Whistleblower 21276-13W v. Commissioner, the Tax Court ruled that a whistleblower may still qualify for an award even if the Form 211 was submitted after the whistleblower provided the information regarding evasion directly to IRS agents3. Specifically, the whistleblower in Whistleblower 21276-13W v. Commissioner participated in illegal activities and was arrested. In order to minimize his punishment, he provided information to the IRS regarding his clients’ schemes. Later, he submitted a Form 211, and the Tax Court considered the timing appropriate. Significantly, the court noted that even Form 211 itself contemplates this timing since it requests information about anyone to whom the whistleblower may have first reported the evasion4.
Sources:
- Note that the IRS does clarify on its website that it allows faxing of a Form 14242, Report Suspected Abusive Tax Promotions or Preparers, for reporting an abusive tax promotion or promoter.
- IRS Publication 5251.
- 144 T.C. 290 (2015).
- Id. at 304–306.