No, not another cannabis case. This is Alcohol and Tobacco Tax and Trade Bureau’s new whistleblower gambit. Here’s the skinny:
I see from the press release that that delightful luncheon companion and avid fisherman, Chief Whistler Lee D. Martin, is on the right track.
“The IRS Whistleblower Office is always looking to do more for whistleblowers.”
Just tell the Ogden Sunset crowd to go and do likewise.
Hello Mr. Taishoff,
As I’m sure you well know, the signal effect of a PR-release with lofty and aspirational bureaucratic-speak pales in comparison to the reality of how the WBO treats its WB’s.
On the ground, the signal effect looks much more the IRS and yes, by its actions, i.e. award decisions being made by Mr. Martin, of paltry and insulting award amounts, saying “Don’t bug us!)
The details are best seen in the attached order from J Nega:
https://www.ustaxcourt.gov/InternetOrders/DocumentViewer.aspx?IndexSearchableOrdersID=309857
But a synopsis:
– serial WB Ms. McCrory, filed 21 211 forms
– IRS collected ~103k$, awarded 963$, this is a 0.93%. Yes, a less than 1% reward.
– signal effect: thank you. don’t bug us.
– Yes, we are going to fight in Tax Court to protect this behaviour.
– Note: a max 7623b-style reward of 30% would have been ca. 40k$, a 7623a max of 10% would have been ca. 10k$.
I’ve long advocated that IRS policy be tax-free awards of 30% (to be reduced only for WB misbehavior). Its so simple:
– Fat rewards will draw WB’s.
– More tips mean greater chance of getting caught.
– Greater chance of getting caught means less cheating.
– Less cheating means better voluntary compliance and less cheating on the part of taxpayers.
– More compliance means fewer tips and fewer payouts.
Disclosure: I have a vested interest in better WB treatment as I am a potential whistleblower chilled these many years by the malfeasance of Mr. Whitlock & Co. and the hardly better behavior of Mr. Martin & Co.
Best regards, and happy holidays to you sir!
FCA Aficionado
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