As reported by Barron's Clare McKeen, the Internal Revenue Service's new "Whistleblower Office" is open and ready for business. If you are willing to tattle on your fellow man, the IRS is willing to pay you for the information.

Under a new program, the IRS is now offering rewards to individuals (or corporations) that help it recover funds from those that cheat on their federal taxes -- and the reward for your indiscretion can be great. By way of example, the IRS has stated that if it recovers $2 million the Whistleblower's cut can be between $300,000 and $600,000. The caveat being that the actual amount awarded will be based on the "significance" of the information provided, as determined by the IRS Whistleblower Office. Of course, as with all things IRS, the Whistleblower can expect to wait a significant amount of time -- up to two years -- for the IRS to determine the appropriate reward, if any.

In addition, the IRS promises that it will protect the identity of the Whistleblower from the tax cheat "to the full extent of the law." Perhaps providing some comfort to the would be Whistleblower, to varying degrees, depending upon whom you are tattling on.

To those who are interested, a claim can be filed by filling out and submitting IRS Form 211 ("Application for Award for Original Information") which can be found at IRS.gov. All statements made thereon are subject to the penalties of perjury so all efforts should be made to refrain from exaggerations (and outright lies).

Don't forget to report the reward that you receive from the IRS on your own tax return, or you may find yourself the subject of another Whistleblower's Form 211 application.