IRS Remains Focused on Whistleblower Program with New Multi-Year Operating Plan
The Internal Revenue Service (IRS) shared encouraging news this April from its Whistleblower Office, with the announcement of a multi-year, multi-faceted operating plan designed to advance, modernize and enhance the office by improving the process to obtain a reward while protecting taxpayer information and recovering lost revenue.
IRS Whistleblower Office Director John Hinman details the goals and visions of the program in its Operating Plan, which includes an in-depth roadmap outlining guiding principles, strategic priorities, and initiatives aimed at improving efficiency, transparency, and effectiveness in tax enforcement.
Since its inception in 2007, the IRS Whistleblower Program has recovered over $7 billion in unpaid taxes and awarded whistleblowers more than $1.3 billion. This new operating plan introduces 38 initiatives designed to increase public trust, encourage whistleblower participation, and close the tax gap.
According to the IRS, the operating plan is built around six strategic priorities:
1. Enhance the claim submission process to promote greater efficiency.
2. Use high-value whistleblower information effectively.
3. Award whistleblowers fairly and as soon as possible.
4. Keep whistleblowers informed of the status of their claims and the basis for IRS decisions on claims.
5. Safeguard whistleblower and taxpayer information.
6. Ensure that the IRS workforce is supported with effective tools, technology, training and other resources.
The strategic plan breaks down specific objectives for each of the six priorities into immediate goals for 2025, along with longer term initiatives for 2026-2027. The aim is to focus on improvements to staffing, systems and processes, data and information, and collaboration with IRS compliance functions, with the Office of Chief Counsel, whistleblower practitioners, and other stakeholders.
For attorneys representing whistleblowers in tax-related cases, the implications of this new operating plan should lead to increased case volume, with a more streamlined submission process and enhanced collaboration—and potentially a higher success rate. Yet, it will still require experienced counsel to follow new procedures and stay abreast of the inevitable changes that will take place as the program evolves under a new administration.
This blog was written by Micah Buchdahl, Of Counsel at Kang Haggerty. This piece was edited by Grace Swindler of The Anti-Fraud Coalition.