Reporting Tax Fraud in Michigan Has Never Been Easier

iEditorial Note: These blog posts represent the opinion of DoNotPay’s Writers, but each person’s situation and circumstances vary greatly. As a result, you should make sure to do your own independent research. Because everyone is unique, our self-help tools are never guaranteed to help with any specific situation. DoNotPay is not a law firm and is not licensed to practice law. DoNotPay provides a platform for legal information and self-help.

The Easiest Way to Report Tax Fraud in Michigan

It's safe to say that no one's enthusiastic about paying their tax bill. However, taxes fund the infrastructure and services we all depend on, which is why most people wouldn't dream of trying to cheat the system. There's also the fact that not paying taxes is illegal, with major consequences for anyone that gets caught.

Unfortunately, there are still selfish individuals and businesses that are determined to pay less than their fair share. If you suspect someone is committing tax fraud or tax evasion in Michigan, do something about it. This article has detailed instructions on how to by contacting the state's Department of Treasury or the IRS, depending on what's appropriate. You can even report the crime to both organizations at the same time by using DoNotPay's easy tax fraud reporting tool.

What Qualifies as Tax Fraud?

There are many kinds of dishonest tricks that can be used to avoid paying federal, state, or local taxes. Some of the serious violations that should be reported to either the IRS or Michigan's Department of Treasury include:

  1. Hiding or underreporting taxable income
  2. Claiming fake exemptions or deductions that reduce tax liability
  3. Altering tax documents
  4. Writing off personal expenses as business costs
  5. Not withholding payroll taxes from employees
  6. Paying employees "under the table" without overtime or benefits

Why It's Worth Reporting Tax Fraud

People who cheat on their taxes want to drive on public highways and use public services without doing their part to keep it all going. This fundamental unfairness motivates honest taxpayers to report them, especially when it's either a business or a high-income individual.

Another great reason for reporting federal tax fraud is that, in certain cases, the IRS does offer a generous financial reward for providing useful information. Whistleblowers can potentially get a percentage of the revenue recovered because of their report, usually between 15 and 30 percent.

How to Report Tax Fraud in Michigan

Tax fraud can vary in scope between affecting state taxes or federal taxes, although it usually includes both. If you want to report a business for tax evasion in Michigan, you would typically reach out to both the state's Department of Treasury and the IRS.

There's also the specific violation of payroll fraud being committed by businesses. This form of tax avoidance is considered a very serious issue in Michigan and can be reported to the state's dedicated hotline at 833-221-1099.

Reporting State Tax Fraud

Tax violations involving Michigan's taxes are handled by a unit within the Department of Treasury. You can report fraud via
MailDiscovery and Tax Enforcement, Attn: Fraud Unit, P.O. Box 30140, Lansing MI 48909
Hotline Number517-636-4157

With each method, you should include any pertinent information you have that would help the Department of Treasury investigate, such as:

  • The name and address of the individual or business you're reporting
  • Their taxpayer identification number, if you know it
  • A detailed description of the alleged fraud
  • The date or date range for this illegal activity

Reporting Federal Tax Fraud

Federal tax violations are infamously handled by the IRS, which only accepts fraud reports in writing. You have the option of either filling out Form 3949-A or sending a letter with your info to Internal Revenue Service, PO Box 3801, Ogden UT, 84409. In either format, the IRS requests your report include as much information as possible to help them investigate the case, including:

  • The name and address of the individual or business
  • Their employer identification number or social security number, if you know it
  • A description of the alleged violation(s) and how you became aware of them
  • An estimated dollar amount for any unreported income
  • The time frame for the tax fraud, to your knowledge
  • Any documented evidence of the alleged fraud
  • Your name and contact information, unless you choose to stay anonymous

How DoNotPay Can Help You Report Tax Fraud in Michigan

If the process of reporting tax fraud is beginning to sound daunting, you're not alone. No one enjoys filling out forms or dealing with bureaucracy. That's why DoNotPay created a simple tool that takes all the hassle and guesswork out of reporting tax fraud. The magic of automation allows you to do your civic duty in just a few short minutes.

If you want to report tax fraud but don't know where to start, DoNotPay has you covered. Create your tax fraud report in 5 easy steps:

  1. Open the DoNotPay Report Tax Fraud product.
  2. Enter the business you would like to report for tax fraud.
  3. Provide the details of suspicious activity and as much evidence as you can provide.
  4. Confirm your contact information.
  5. DoNotPay will automatically generate the official report and send it on your behalf. The IRS will contact you regarding cash rewards once the case is investigated.

Why Use DoNotPay to Report Tax Fraud in Michigan

The world's first robotic lawyer uses artificial intelligence to make reporting tax fraud truly effortless. You don't have to search for the right form, figure out what information to include in a letter, or make any trips to the post office. Simply use the app, share all the relevant information, and hit the submit button.

DoNotPay's tools are a quick, simple, and legally sound option for accomplishing a wide range of tasks, whether it's , canceling a subscription, submitting an HR complaint, or getting a refund from Uber Eats.

What Else Can DoNotPay Do?

DoNotPay has so many useful tools and features that the possibilities are truly endless. This nifty app can make life easier by helping you:

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