Tax Evasion Reporting New York

Examples include underreporting income, using fake business expenses, hiding assets in offshore accounts, or conducting real estate transactions using false contract values. Other schemes include the use of nominee bank accounts or shell corporations.

Whistleblowers should clearly describe the who, what, when, where, and how of the suspected fraud. Include personal identifiers of the suspected evader (name, business entity, address, taxpayer ID if known) and supporting documentation such as invoices, bank statements, or contracts.

You may submit a report via the following:

• Online: Through the New York State Department of Taxation and Finance website.
• Mail: Physical documents may be sent to the Investigations Division.
• Phone: Minor complaints can be submitted via the toll-free number.

All methods maintain strict confidentiality. New York law prohibits the disclosure of whistleblower identities without consent.

Revised Sentence:
Under the New York False Claims Act, whistleblowers may be eligible to receive between 15% and 30% of the tax revenue recovered as a result of their report. The exact percentage depends on factors such as the significance of the information, whether the government intervenes, and the whistleblower’s contribution to the outcome.

Optional clarification:
There is no fixed reward formula or maximum dollar cap officially published by New York State; amounts are determined on a case-by-case basis by the Attorney General or Tax Department.

1. Investigation Launch: The Department reviews the report and opens an investigation if warranted.
2. Tax Collection: If the investigation leads to successful collection, reward eligibility is triggered.
3. Application: The whistleblower must file an official reward application through the agency.
4. Committee Review: A reward committee evaluates the significance of the tip and contribution to recovery.
5. Disbursement: Upon approval, the reward is issued directly to the claimant.

You are not eligible for a reward if:

• The tip had already been submitted by someone else or was publicly known.
• You are a government employee with access to the information by virtue of your position.
• The total recovery was under the legal threshold (typically below $500,000).
• You submitted false or speculative information.
• The report is based on confidential government investigative data.

Legal support is strongly advised when:

• The information involves high-value transactions or corporate fraud.
• You need to remain anonymous while claiming a reward.
• You're unsure about the legal weight of your documentation.
• Your initial reward application is denied and you plan to appeal.
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Skilled tax counsel can evaluate the strength of your evidence and communicate with authorities on your behalf.

New York tax law ensures strict confidentiality for whistleblowers. The Department of Taxation and Finance is prohibited from releasing the identity of anyone submitting a report unless explicitly authorized.