The Virginia government meeting on January 20, 2025, focused on a proposed bill aimed at incentivizing tax whistleblowers. Senator Servo presented the bill, which seeks to establish a reward system for individuals who report tax fraud within the state. This initiative is modeled after successful programs in other states, such as Maryland and New York.

Senator Servo highlighted the significant financial impact of tax fraud in the United States, estimating losses at approximately $3.3 trillion annually. He noted that while Virginia has a False Claims Act for procurement fraud, it currently lacks a similar mechanism for tax-related offenses. The proposed bill would allow whistleblowers to receive rewards if their information leads to the recovery of substantial tax amounts, specifically targeting cases where individual taxpayers earn over $100,000 and businesses exceed $500,000 in income.

The senator provided context by sharing that Maryland's whistleblower program has recovered around $4 million since its inception. He emphasized the effectiveness of Virginia's compliance efforts, which have yielded a return of $900 million from a $29 million investment in tax compliance over the past three years, showcasing a return rate of approximately 2,000%.

The meeting concluded with an invitation for public comments, indicating ongoing interest and potential support for the bill. The proposed legislation aims to enhance tax compliance in Virginia by encouraging citizens to report fraudulent activities, ultimately benefiting the state's revenue collection efforts.