Would You Turn In A Tax Cheat For Cash?

If your best friend or a family member was filing a fraudulent tax return, would you turn them in? I mean, if they are not paying their fair share, that means everyone else is eventually going to have to cover it for them…so should you turn them in? The IRS is trying to convince you that you should indeed turn anyone in that you know is cheating on your taxes with cold, hard cash. If the amount owed is $2 million or more, (including fees, penalties, the actual tax owed), you can get a 15-30% fee. Is it worth turning in your rich grandmother?

I guess it depends on how close you are to her…

I am not sure this will reap great rewards for the IRS, as I think most people hate them anyway and would not want to get involved in something like this, especially if they did not know for sure if there was anything in it for them. I hear on the radio the ads for the “software police” where you get rewarded with cash for turning in your company for using stolen/illegal computer software, but that is against a company, not your grandma.

Would you turn someone in if you knew you could get 15-30% of $2 million dollars or more?

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Comments (3)

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  1. Mercedes says:

    Yup… except my immediate family, I would threaten them.. /not really 🙂

  2. donna jean says:

    If I knew of a company that was under reporting at the amounts the IRS is looking for, sure I’d do it. I don’t know any people, family or otherwise, that make enough to owe the IRS 2 million dollars. If I did have friends in that category, they probably be paying what they owe, fair and square.

    Would I do it for ethical reasons? Probably not, I’d do it to get the cash and to force a company to walk the line like everyone else. In fact, I’m now wishing I knew the nitty-gritty on such companies to be able to make such a conclusion and accusation. 15% of 2 million is $300,000 — enough to get a house paid in full (albeit a small house in the area, maybe just a townhouse).

  3. david says:

    Im with you both….company or unknown, I would SO turn them in for money. My mom? Probably not ;-).

    I worked for a place years ago that had some weird stuff going on in accounting, but I didnt know the IRS would pay you for this info, otherwise….