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IRS to Whistleblower: “Thanks for the worthless tip. We Award You No Points.”

The Internal Revenue Service has rejected a reward claim made by a whistleblower, former banker Joseph Insinga, who had sued the agency in a closely watched case. In a letter dated April 15, the IRS told Insinga that he was not entitled to a reward. A copy of the letter was provided to Reuters by his attorney Andrew Carr. The information Insinga gave to the IRS in May 2007 about several companies, which he alleged dodged taxes, did not result in collection of any additional taxes, the IRS said. Insinga will appeal the rejection, Carr told Reuters by email. [Reuters]

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