HB2813 99TH GENERAL ASSEMBLY

LRB099 06091 HLH 26146 b

99TH GENERAL ASSEMBLY
State of Illinois
2015 and 2016
HB2813

Introduced , by Rep. Patricia R. Bellock

SYNOPSIS AS INTRODUCED:

New Act

Creates the Whistleblower Reward Program Act. Provides that the Department of Revenue is authorized to pay awards as it deems necessary for detecting underpayments of any tax administered by the Department.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning revenue.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 1. Short title. This Act may be cited as the Whistleblower Reward Program Act.

Section 5. Definitions. As used in this Act:

"Department" means the Department of Revenue.

"Illinois Independent Tax Tribunal" means the Illinois Independent Tax Tribunal established under the Illinois Independent Tax Tribunal Act of 2012.

Section 10. Awards to whistleblowers.

(a) The Department is authorized to pay such sums as it deems necessary for detecting underpayments of any tax administered by the Department in cases where such expenses are not otherwise provided for by law. Those amounts shall be paid from the proceeds of amounts collected by reason of the information provided, and any amount so collected shall be available for such payments.

(b) If a State's Attorney, the Department, the Illinois Independent Tax Tribunal, or the Attorney General proceeds with any administrative or judicial action based on information brought to that entity's attention by an individual under subsection (a), then the Department may award that individual not more than 30% of the collected proceeds (including penalties, interest, additions to tax, and additional amounts) resulting from the action (including any related actions) or from any settlement in response to such action. The determination of the amount of such award shall depend upon the extent to which the individual substantially contributed to such action.

(c) If the action described in subsection (b) is one which the Department determines to be based principally on disclosures of specific allegations (other than information provided by the individual described in subsection (a)) resulting from a judicial or administrative hearing, from a governmental report, hearing, audit, or investigation, or from the news media, the Department may award such sums as it considers appropriate, but in no case more than 10% of the collected proceeds (including penalties, interest, additions to tax, and additional amounts) resulting from the action (including any related actions) or from any settlement in response to such action, taking into account the significance of the individual's information and the role of such individual and any legal representative of such individual in contributing to such action.

(d) If the Department determines that the claim for an award this Section is brought by an individual who planned and initiated the actions that led to the underpayment of tax, then the Department may appropriately reduce such award. If such individual is convicted of criminal conduct arising from the role described in this subsection, the Department shall deny any award.

(e) Any individual described in this Section may be represented by counsel.

Section 15. Submission under penalty of perjury. No award may be made under this Act based on information submitted to the Secretary unless such information is submitted under penalty of perjury.