Recent Whistleblower Case Denies Recovery

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Jason B. Freeman

Jason B. Freeman

Managing Member


Mr. Freeman is the founding member of Freeman Law, PLLC. He is a dual-credentialed attorney-CPA, author, law professor, and trial attorney.

Mr. Freeman has been named by Chambers & Partners as among the leading tax and litigation attorneys in the United States and to U.S. News and World Report’s Best Lawyers in America list. He is a former recipient of the American Bar Association’s “On the Rise – Top 40 Young Lawyers” in America award. Mr. Freeman was named the “Leading Tax Controversy Litigation Attorney of the Year” for the State of Texas for 2019 and 2020 by AI.

Mr. Freeman has been recognized multiple times by D Magazine, a D Magazine Partner service, as one of the Best Lawyers in Dallas, and as a Super Lawyer by Super Lawyers, a Thomson Reuters service. He has previously been recognized by Super Lawyers as a Top 100 Up-And-Coming Attorney in Texas.

Mr. Freeman currently serves as the chairman of the Texas Society of CPAs (TXCPA). He is a former chairman of the Dallas Society of CPAs (TXCPA-Dallas). Mr. Freeman also served multiple terms as the President of the North Texas chapter of the American Academy of Attorney-CPAs. He has been previously recognized as the Young CPA of the Year in the State of Texas (an award given to only one CPA in the state of Texas under 40).

Frantz v. Comm’r, T.C. Memo. 2020-64 | May 19, 2020 | Urda, J. | Dkt. No. 15440-18W

Short SummaryPetitioner sought review of the IRS Whistleblower Office’s decision to deny a whistleblower award for an alleged understatement by a chapter 7 bankruptcy trustee of the bankruptcy estate’s tax liability.  The Tax Court granted summary judgment against the Petitioner.

Key Issue:  Whether the IRS Whistleblower Office’s determinations to reject and deny Petitioners respective whistleblower claims was an “abuse of discretion?”

Primary Holdings

Key Points of Law:

InsightThe Frantz case illustrates the need for a whistleblower to prepare a thorough whistleblower claim that provides the IRS with specific, credible information and documentation and otherwise satisfies the criteria to trigger a whistleblower award.  The case further demonstrates the deference that is accorded to the IRS under the abuse-of-discretion standard of review.


For more resources on whistleblower laws, see:


Whistleblower Defense 

Whistleblowers should strongly consider engaging experienced tax counsel to assist with the whistleblower process and to navigate the procedural and substantive pitfalls. Freeman Law’s tax attorneys are available to assist with defending and submitting IRS whistleblower claims.  Call today at (214) 984-3000 or contact us online for a consultation.