False claims act (FCA) statutes allow private persons to bring civil actions against alleged wrongdoers on behalf of the government. FCAs and qui tam actions vary, but generally impose significant penalties for “knowingly” failing to comply with a state law. In this edition of A Pinch of SALT, Sutherland SALT’s Jack Trachtenberg, Jeff Friedman and Eric Tresh explore the disturbing trend of the use of FCAs as a basis for challenging state taxpayers.
Read “Applying False Claims Acts in State Taxation,” reprinted with permission from the May 7, 2012 issue of State Tax Notes.