Two of the Most Asked Tax Whistleblower Questions
Saturday, December 20th, 2008Is the IRS Whistleblower Reward Taxable? The most asked tax whistleblower question by clients is, do I have to pay tax on my tax reward for helping the IRS? The answer is simply, Yes, it is taxable. A reward received under Code Sec. 7623 is taxable as ordinary income. Rev. Rul. 70-576, ...