IRS Honors Whistleblowers With National Whistleblower Day Shout-Out

By the Constantine Cannon Whistleblower Team

Last Tuesday (July 28), the Internal Revenue Service (IRS) provided the ultimate shout-out to whistleblowers by highlighting National Whistleblower Day “and the important role whistleblowers play in exposing fraud, reducing the tax gap, and strengthening compliance.”[1]  It follows a similar toasting of whistleblowers the IRS made on the eve of National Whistleblower Day last year.

Is the IRS Looking to Attract More Whistleblowers?

It also follows what appears to be the agency’s stepped-up efforts to promote the IRS Whistleblower Program, under which whistleblowers can receive up to 30% of the proceeds the government collects based on tax fraud information the whistleblower provides.  It was only a few months ago that the IRS issued a Whistleblower Alert promoting the program and calling on whistleblowers to come forward with any information on the fraudulent misuse or diversion of federal funds and grants.

And just a year before that in April 2025, the IRS announced its first-ever multi-year operating plan to expand the reach, visibility, and impact of its whistleblower program.  Among the key priorities of the plan were promoting greater efficiency in the program, using high-value whistleblower information more effectively, and awarding whistleblowers fairly and quickly.  As we reported at the time, the agency is hoping to use the operating plan to turn around a program that has historically faced criticism for delays, lack of transparency, and a checkered relationship with its whistleblowers.

The IRS is clearly trying to continue its efforts to further improve and promote its whistleblower program and remake its image as an agency that wants to hear from whistleblowers.  Indeed, in its National Whistleblower Day announcement, IRS Chief Executive Officer Frank Bisignano himself underscored the “essential role” whistleblowers play in IRS enforcement and how the information they provide “helps the IRS identify noncompliance, pursue enforcement actions, and ensure fairness for taxpayers who follow the law.”

What is National Whistleblower Day?

Using the oft-overlooked National Whistleblower Day as a platform to honor whistleblowers is just a further testament to the renewed commitment the IRS is showing towards its whistleblower program.  National Whistleblower Day is the bi-partisan creation of Senators Chuck Grassley (R-Iowa) and Ron Wyden (D-Oregon) and their Senate Whistleblower Protection Caucus.  They launched the special day in 2013 and it has been recognized on July 30 every year since.

July 30 is the celebrated day because on this day in 1778, the Continental Congress passed the country’s first whistleblower law.  It followed the jailing of two American sailors who reportedly blew the whistle on their commander for torturing British soldiers.  The newly formed government wanted to show its clear support for speaking truth to power by making it “the duty of all persons in the service of the United States . . . to give the earliest information to Congress or other proper authority of any misconduct . . . committed by any officers or persons in the service of these states.”

In a Commentary he wrote for the Star Tribune a few years ago, Constantine Cannon partner Gordon Schnell highlighted the importance of the holiday: It is not “just another made-up holiday to celebrate the peculiar passions or pastimes of a particularly fervent few.”  Instead, Schnell said “it is a special day to honor whistleblowers and the critical role they play in keeping us safe and sound.”

Has the IRS Whistleblower Program Been Successful?

The IRS Whistleblower Program has not been as prolific or successful as the False Claims Act, which is the country’s pre-eminent channel for whistleblowers to report fraud by filing lawsuits on behalf of the Government against those that defraud the Government.  Whistleblower-originated False Claims Act cases have led to more than $60 billion in Government recoveries and roughly $10 billion in awards.

The IRS program likewise has fallen short of the SEC Whistleblower Program, which rewards whistleblowers for reporting securities law violations.  Since the program began in 2011, the SEC has made more than $2.2 billion in whistleblower awards.  The program receives thousands of whistleblower tips every year, a number that has steadily increased over the past decade.

Nevertheless, the IRS program has seen its own share of success over the last few years.  Since its inception in 2007, IRS whistleblowers have helped the agency recover more than $8 billion and received more than $1.4 billion in whistleblower awards for their efforts.  But clearly the agency is looking to grow these numbers.

The efforts the IRS has taken this past year to improve the program and promote whistleblowers more broadly has been a key part of the plan.  So is using National Whistleblower Day to let whistleblowers know the agency wants to hear from them.  As IRS Acting Whistleblower Chief

Erick Martinez remarked: “Celebrating National Whistleblower Day is an opportunity to express sincere appreciation to whistleblowers.  Their efforts make our tax system stronger by exposing wrongdoing and deterring bad actors.”

In terms of its continued efforts to advance the whistleblower program, the IRS pointed to several additional initiatives it introduced over the past year to make it easier for whistleblowers to come forward.  This includes (i) launching Digital Form 211 for whistleblowers to report to the agency by using a phone or laptop, (ii) launching a centralized online reporting tool with step-by-step guidance on how to report fraud and scams, and (iii) expanding its Whistleblower Alert initiative, highlighting emerging schemes and helping whistleblowers identify suspicious activity.

Constantine Cannon whistleblower lawyer Dan Noel is heartened by the IRS’ continued efforts to improve its whistleblower program and promote the critical need for whistleblowers.  “The IRS wants to hear from whistleblowers plain and simple,” Noel says.  “Giving them a special shout out on National Whistleblower Day in conjunction with the many steps the IRS has taken over the years to move the program forward shows the agency recognizes how important whistleblowers are to its enforcement scheme.”

Constantine Cannon Has Substantial Experience Representing IRS Whistleblowers

Constantine Cannon has substantial experience representing IRS whistleblowers.  If you would like to learn more about our many whistleblower successes, what type of tax fraud the IRS Whistleblower Programs cover, or what it means to be a whistleblower more broadly, please do not hesitate to contact us.  We will connect you with an experienced member of the Constantine Cannon Whistleblower Team for a free and confidential consultation.

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[1]  See https://www.irs.gov/newsroom/irs-recognizes-national-whistleblower-day-with-8-billion-recovered-since-2007.

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