California, Michigan, D.C. Eye Revenue From Tax Whistleblowers

Legislation giving whistleblowers wider opportunities to expose big-ticket tax frauds is getting attention in a small group of states—inspired in part by data showing New York’s law has netted nearly $500 million.

California Attorney General Xavier Becerra (D) is scheduled to present his plan expanding the boundaries of the state’s False Claims Act (FCA) to tax matters on Thursday. In addition, Michigan and the District of Columbia will consider bills that add tax code violations to the list of actionable frauds coming under their false claims laws. Only a handful of states currently permit tax-related false claims suits, responding to ...