116 HR 3151 ENR: To amend the Internal Revenue Code of 1986 to modernize and improve the Internal Revenue Service, and for other purposes.House Bill3151116 HR 3151 ENR116hr3151enr116 H.R. 3151 ENRUnited States House of RepresentativesUnited States Government Publishing Officetext/xmlENPursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.ENRGPO Locator to USLM Converter 3.11.8;Stage2.202201272023-01-021161publicH. R.3151One Hundred Sixteenth Congress of the United States of AmericaA T T H E F I R S T S E S S I O NBegun and held at the City of Washington on Thursday, the third day of January, two thousand and nineteenAn ActTo amend the Internal Revenue Code of 1986 to modernize and improve the Internal Revenue Service, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,SECTION 1. SHORT TITLE; ETC.(a) Short Title.—This Act may be cited as the “Taxpayer First Act”.(b) Amendment of 1986 Code.—Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.(c) Table of Contents.—The table of contents for this Act is as follows:
Sec. 1. TITLE I—Subtitle A—Sec. 1001. Subtitle B—Sec. 1101. Sec. 1102. Subtitle C—Sec. 1201. Sec. 1202. Sec. 1203. Sec. 1204. Sec. 1205. Sec. 1206. Sec. 1207. Sec. 1208. Subtitle D—Sec. 1301. Sec. 1302. Subtitle E—Sec. 1401. Sec. 1402. Sec. 1403. Sec. 1404. Sec. 1405. Sec. 1406. Sec. 1407. TITLE II—Subtitle A—Sec. 2001. Sec. 2002. Sec. 2003. Sec. 2004. Sec. 2005. Sec. 2006. Sec. 2007. Sec. 2008. Sec. 2009. Subtitle B—Sec. 2101. Sec. 2102. Sec. 2103. Subtitle C—Sec. 2201. Sec. 2202. Subtitle D—Sec. 2301. Sec. 2302. Sec. 2303. Sec. 2304. Subtitle E—Sec. 2401. Sec. 2402. TITLE III—Subtitle A—Sec. 3001. Sec. 3002. Subtitle B—Sec. 3101. Sec. 3102. Subtitle C—Sec. 3201. TITLE IV—Sec. 4001. <num value="I">TITLE I—</num><heading>PUTTING TAXPAYERS FIRST</heading>
<subtitle id="d2739e414" identifier="/us/bill/116/hr/3151/tI/stA" style="-uslm-lc:I650178"><num value="A">Subtitle A—</num><heading>Independent Appeals Process</heading>
<section id="d2739e419" identifier="/us/bill/116/hr/3151/tI/stA/s1001" style="-uslm-lc:I650144"><num value="1001">SEC. 1001. </num><heading>ESTABLISHMENT OF INTERNAL REVENUE SERVICE INDEPENDENT OFFICE OF APPEALS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e423" identifier="/us/bill/116/hr/3151/tI/stA/s1001/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 7803 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="e">“(e) </num><heading><inline class="smallCaps">Independent Office of Appeals</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">Establishment</inline>.—</heading><content>There is established in the Internal Revenue Service an office to be known as the ‘Internal Revenue Service Independent Office of Appeals’.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Chief of appeals</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>The Internal Revenue Service Independent Office of Appeals shall be under the supervision and direction of an official to be known as the ‘Chief of Appeals’. The Chief of Appeals shall report directly to the Commissioner of Internal Revenue and shall be entitled to compensation at the same rate as the highest rate of basic pay established for the Senior Executive Service under <ref href="/us/usc/t5/s5382">section 5382 of title 5, United States Code</ref>.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Appointment</inline>.—</heading><content>The Chief of Appeals shall be appointed by the Commissioner of Internal Revenue without regard to the provisions of <ref href="/us/usc/t5">title 5, United States Code</ref>, relating to appointments in the competitive service or the Senior Executive Service.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><heading><inline class="smallCaps">Qualifications</inline>.—</heading><chapeau>An individual appointed under subparagraph (B) shall have experience and expertise in—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>administration of, and compliance with, Federal tax laws,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>a broad range of compliance cases, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>management of large service organizations.</content></clause></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">Purposes and duties of office</inline>.—</heading><chapeau>It shall be the function of the Internal Revenue Service Independent Office of Appeals to resolve Federal tax controversies without litigation on a basis which—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>is fair and impartial to both the Government and the taxpayer,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>promotes a consistent application and interpretation of, and voluntary compliance with, the Federal tax laws, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>enhances public confidence in the integrity and efficiency of the Internal Revenue Service.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">“(4) </num><heading><inline class="smallCaps">Right of appeal</inline>.—</heading><content>The resolution process described in paragraph (3) shall be generally available to all taxpayers.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">“(5) </num><heading><inline class="smallCaps">Limitation on designation of cases as not eligible for referral to independent office of appeals</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>If any taxpayer which is in receipt of a notice of deficiency authorized under section 6212 requests referral to the Internal Revenue Service Independent Office of Appeals and such request is denied, the Commissioner of Internal Revenue shall provide such taxpayer a written notice which—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>provides a detailed description of the facts involved, the basis for the decision to deny the request, and a detailed explanation of how the basis of such decision applies to such facts, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>describes the procedures prescribed under subparagraph (C) for protesting the decision to deny the request.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Report to congress</inline>.—</heading><content>The Commissioner of Internal Revenue shall submit a written report to Congress on an annual basis which includes the number of requests described in subparagraph (A) which were denied and the reasons (described by category) that such requests were denied.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><heading><inline class="smallCaps">Procedures for protesting denial of request</inline>.—</heading><content>The Commissioner of Internal Revenue shall prescribe procedures for protesting to the Commissioner of Internal Revenue a denial of a request described in subparagraph (A).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">“(D) </num><heading><inline class="smallCaps">Not applicable to frivolous positions</inline>.—</heading><content>This paragraph shall not apply to a request for referral to the Internal Revenue Service Independent Office of Appeals which is denied on the basis that the issue involved is a frivolous position (within the meaning of section 6702(c)).</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="6">“(6) </num><heading><inline class="smallCaps">Staff</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>All personnel in the Internal Revenue Service Independent Office of Appeals shall report to the Chief of Appeals.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Access to staff of office of the chief counsel</inline>.—</heading><content>The Chief of Appeals shall have authority to obtain legal assistance and advice from the staff of the Office of the Chief Counsel. The Chief Counsel shall ensure, to the extent practicable, that such assistance and advice is provided by staff of the Office of the Chief Counsel who were not involved in the case with respect to which such assistance and advice is sought and who are not involved in preparing such case for litigation.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="7">“(7) </num><heading><inline class="smallCaps">Access to case files</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>In any case in which a conference with the Internal Revenue Service Independent Office of Appeals has been scheduled upon request of a specified taxpayer, the Chief of Appeals shall ensure that such taxpayer is provided access to the nonprivileged portions of the case file on record regarding the disputed issues (other than documents provided by the taxpayer to the Internal Revenue Service) not later than 10 days before the date of such conference.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Taxpayer election to expedite conference</inline>.—</heading><content>If the taxpayer so elects, subparagraph (A) shall be applied by substituting ‘the date of such conference’ for ‘10 days before the date of such conference’.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><heading><inline class="smallCaps">Specified taxpayer</inline>.—</heading><chapeau>For purposes of this paragraph—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>The term ‘<term>specified taxpayer</term>’ means—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>in the case of any taxpayer who is a natural person, a taxpayer whose adjusted gross income does not exceed $400,000 for the taxable year to which the dispute relates, and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>in the case of any other taxpayer, a taxpayer whose gross receipts do not exceed $5 million for the taxable year to which the dispute relates.</content></subclause></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><heading><inline class="smallCaps">Aggregation rule</inline>.—</heading><content>Rules similar to the rules of section 448(c)(2) shall apply for purposes of clause (i)(II).”</content></clause></subparagraph></paragraph></subsection></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e659" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Conforming Amendments</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e666" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><chapeau>The following provisions are each amended by <amendingAction type="delete">striking</amendingAction> “<quotedText>Internal Revenue Service Office of Appeals</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>Internal Revenue Service Independent Office of Appeals</quotedText>”:</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e677" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>Section 6015(c)(4)(B)(ii)(I).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e681" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>Section 6320(b)(1).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e685" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/C" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">(C) </num><content>Subsections (b)(1) and (d)(3) of section 6330.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e689" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/D" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">(D) </num><content>Section 6603(d)(3)(B).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e693" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/E" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="E">(E) </num><content>Section 6621(c)(2)(A)(i).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e697" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/F" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="F">(F) </num><content>Section 7122(e)(2).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e701" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/G" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="G">(G) </num><content>Subsections (a), (b)(1), (b)(2), and (c)(1) of section 7123.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e705" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/H" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="H">(H) </num><content>Subsections (c)(7)(B)(i) and (g)(2)(A) of section 7430.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e709" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/I" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="I">(I) </num><content>Section 7522(b)(3).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e714" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/1/J" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="J">(J) </num><content>Section 7612(c)(2)(A).</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e718" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/2" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>Section 7430(c)(2) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>Internal Revenue Service Office of Appeals</quotedText>” each place it appears and <amendingAction type="insert">inserting</amendingAction> “<quotedText>Internal Revenue Service Independent Office of Appeals</quotedText>”.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e732" identifier="/us/bill/116/hr/3151/tI/stA/s1001/b/3" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>The heading of section 6330(d)(3) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> “<quotedText><headingText class="smallCaps">independent</headingText></quotedText>” after “<quotedText><headingText class="smallCaps">irs</headingText></quotedText>”.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e749" identifier="/us/bill/116/hr/3151/tI/stA/s1001/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Other References</inline>.—</heading><content>Any reference in any provision of law, or regulation or other guidance, to the Internal Revenue Service Office of Appeals shall be treated as a reference to the Internal Revenue Service Independent Office of Appeals.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e757" identifier="/us/bill/116/hr/3151/tI/stA/s1001/d" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">Savings Provisions</inline>.—</heading><content>Rules similar to the rules of paragraphs (2) through (6) of section 1001(b) of the Internal Revenue Service Restructuring and Reform Act of 1998 shall apply for purposes of this section (and the amendments made by this section).</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e765" identifier="/us/bill/116/hr/3151/tI/stA/s1001/e" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="e">(e) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e772" identifier="/us/bill/116/hr/3151/tI/stA/s1001/e/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Except as otherwise provided in this subsection, the amendments made by this section shall take effect on the date of the enactment of this Act.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e780" identifier="/us/bill/116/hr/3151/tI/stA/s1001/e/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Access to case files</inline>.—</heading><content>Section 7803(e)(7) of the Internal Revenue Code of 1986, as added by subsection (a), shall apply to conferences occurring after the date which is 1 year after the date of the enactment of this Act.</content></paragraph></subsection></section>
</subtitle>
<subtitle id="d2739e790" identifier="/us/bill/116/hr/3151/tI/stB" style="-uslm-lc:I650178"><num value="B">Subtitle B—</num><heading>Improved Service</heading>
<section id="d2739e795" identifier="/us/bill/116/hr/3151/tI/stB/s1101" style="-uslm-lc:I650144"><num value="1101">SEC. 1101. </num><heading>COMPREHENSIVE CUSTOMER SERVICE STRATEGY.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e799" identifier="/us/bill/116/hr/3151/tI/stB/s1101/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><chapeau>Not later than the date which is 1 year after the date of the enactment of this Act, the Secretary of the Treasury (or the Secretary’s delegate) shall submit to Congress a written comprehensive customer service strategy for the Internal Revenue Service. Such strategy shall include—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e807" identifier="/us/bill/116/hr/3151/tI/stB/s1101/a/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>a plan to provide assistance to taxpayers that is secure, designed to meet reasonable taxpayer expectations, and adopts appropriate best practices of customer service provided in the private sector, including online services, telephone call back services, and training of employees providing customer services;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e811" identifier="/us/bill/116/hr/3151/tI/stB/s1101/a/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>a thorough assessment of the services that the Internal Revenue Service can co-locate with other Federal services or offer as self-service options;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e815" identifier="/us/bill/116/hr/3151/tI/stB/s1101/a/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>proposals to improve Internal Revenue Service customer service in the short term (the current and following fiscal year), medium term (approximately 3 to 5 fiscal years), and long term (approximately 10 fiscal years);</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e819" identifier="/us/bill/116/hr/3151/tI/stB/s1101/a/4" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">(4) </num><content>a plan to update guidance and training materials for customer service employees of the Internal Revenue Service, including the Internal Revenue Manual, to reflect such strategy; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e823" identifier="/us/bill/116/hr/3151/tI/stB/s1101/a/5" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">(5) </num><content>identified metrics and benchmarks for quantitatively measuring the progress of the Internal Revenue Service in implementing such strategy.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e827" identifier="/us/bill/116/hr/3151/tI/stB/s1101/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Updated Guidance and Training Materials</inline>.—</heading><content>Not later than 2 years after the date of the enactment of this Act, the Secretary of the Treasury (or the Secretary’s delegate) shall make available the updated guidance and training materials described in subsection (a)(4) (including the Internal Revenue Manual). Such updated guidance and training materials (including the Internal Revenue Manual) shall be written in a manner so as to be easily understood by customer service employees of the Internal Revenue Service and shall provide clear instructions.</content></subsection></section>
<section id="d2739e836" identifier="/us/bill/116/hr/3151/tI/stB/s1102" style="-uslm-lc:I650144"><num value="1102">SEC. 1102. </num><heading>LOW-INCOME EXCEPTION FOR PAYMENTS OTHERWISE REQUIRED IN CONNECTION WITH A SUBMISSION OF AN OFFER-IN-COMPROMISE.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e840" identifier="/us/bill/116/hr/3151/tI/stB/s1102/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 7122(c) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">Exception for low-income taxpayers</inline>.—</heading><content>Paragraph (1), and any user fee otherwise required in connection with the submission of an offer-in-compromise, shall not apply to any offer-in-compromise with respect to a taxpayer who is an individual with adjusted gross income, as determined for the most recent taxable year for which such information is available, which does not exceed 250 percent of the applicable poverty level (as determined by the Secretary).”</content></paragraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e865" identifier="/us/bill/116/hr/3151/tI/stB/s1102/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendment made by this section shall apply to offers-in-compromise submitted after the date of the enactment of this Act.</content></subsection></section>
</subtitle>
<subtitle id="d2739e875" identifier="/us/bill/116/hr/3151/tI/stC" style="-uslm-lc:I650178"><num value="C">Subtitle C—</num><heading>Sensible Enforcement</heading>
<section id="d2739e880" identifier="/us/bill/116/hr/3151/tI/stC/s1201" role="instruction" style="-uslm-lc:I650144"><num value="1201">SEC. 1201. </num><heading>INTERNAL REVENUE SERVICE SEIZURE REQUIREMENTS WITH RESPECT TO STRUCTURING TRANSACTIONS.</heading><chapeau class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"> <ref href="/us/usc/t31/s5317/c/2">Section 5317(c)(2) of title 31, United States Code</ref>, <amendingAction type="amend">is amended</amendingAction>—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e892" identifier="/us/bill/116/hr/3151/tI/stC/s1201/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>by <amendingAction type="delete">striking</amendingAction> “<quotedText>Any property</quotedText>” and <amendingAction type="insert">inserting</amendingAction> the following:<quotedContent><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Any property”</content></subparagraph></quotedContent>; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e913" identifier="/us/bill/116/hr/3151/tI/stC/s1201/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>by <amendingAction type="add">adding</amendingAction> at the end the following:<quotedContent><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Internal revenue service seizure requirements with respect to structuring transactions</inline>.—</heading><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><heading><inline class="smallCaps">Property derived from an illegal source</inline>.—</heading><content>Property may only be seized by the Internal Revenue Service pursuant to subparagraph (A) by reason of a claimed violation of section 5324 if the property to be seized was derived from an illegal source or the funds were structured for the purpose of concealing the violation of a criminal law or regulation other than section 5324.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><heading><inline class="smallCaps">Notice</inline>.—</heading><chapeau>Not later than 30 days after property is seized by the Internal Revenue Service pursuant to subparagraph (A), the Internal Revenue Service shall—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>make a good faith effort to find all persons with an ownership interest in such property; and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>provide each such person so found with a notice of the seizure and of the person’s rights under clause (iv).</content></subclause></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><heading><inline class="smallCaps">Extension of notice under certain circumstances</inline>.—</heading><content>The Internal Revenue Service may apply to a court of competent jurisdiction for one 30-day extension of the notice requirement under clause (ii) if the Internal Revenue Service can establish probable cause of an imminent threat to national security or personal safety necessitating such extension.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iv">“(iv) </num><heading><inline class="smallCaps">Post-seizure hearing</inline>.—</heading><content>If a person with an ownership interest in property seized pursuant to subparagraph (A) by the Internal Revenue Service requests a hearing by a court of competent jurisdiction within 30 days after the date on which notice is provided under subclause (ii), such property shall be returned unless the court holds an adversarial hearing and finds within 30 days of such request (or such longer period as the court may provide, but only on request of an interested party) that there is probable cause to believe that there is a violation of section 5324 involving such property and probable cause to believe that the property to be seized was derived from an illegal source or the funds were structured for the purpose of concealing the violation of a criminal law or regulation other than section 5324.”</content></clause></subparagraph></quotedContent>.</content></paragraph></section>
<section id="d2739e971" identifier="/us/bill/116/hr/3151/tI/stC/s1202" style="-uslm-lc:I650144"><num value="1202">SEC. 1202. </num><heading>EXCLUSION OF INTEREST RECEIVED IN ACTION TO RECOVER PROPERTY SEIZED BY THE INTERNAL REVENUE SERVICE BASED ON STRUCTURING TRANSACTION.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e975" identifier="/us/bill/116/hr/3151/tI/stC/s1202/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Part III of subchapter B of chapter 1 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> before section 140 the following new section:<quotedContent><section style="-uslm-lc:I650144"><num class="bold " value="139H">“SEC. 139H. </num><heading class="bold ">INTEREST RECEIVED IN ACTION TO RECOVER PROPERTY SEIZED BY THE INTERNAL REVENUE SERVICE BASED ON STRUCTURING TRANSACTION.</heading><content class="indentDown2 firstIndent1 fontsize10" style="-uslm-lc:I650120"> “Gross income shall not include any interest received from the Federal Government in connection with an action to recover property seized by the Internal Revenue Service pursuant to <ref href="/us/usc/t31/s5317/c/2">section 5317(c)(2) of title 31, United States Code</ref>, by reason of a claimed violation of section 5324 of such title.”</content></section>
</quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1005" identifier="/us/bill/116/hr/3151/tI/stC/s1202/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Clerical Amendment</inline>.—</heading><content>The table of sections for part III of subchapter B of chapter 1 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> before the item relating to section 140 the following new item:<quotedContent><?GPOvSpace 04?>
<toc>
<referenceItem role="section" style="-uslm-lc:I651142">
<designator>“Sec. 139H. </designator>
<label>Interest received in action to recover property seized by the Internal Revenue Service based on structuring transaction.”.<?GPOvSpace 04?></label>
</referenceItem></toc>
</quotedContent></content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1033" identifier="/us/bill/116/hr/3151/tI/stC/s1202/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to interest received on or after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e1042" identifier="/us/bill/116/hr/3151/tI/stC/s1203" style="-uslm-lc:I650144"><num value="1203">SEC. 1203. </num><heading>CLARIFICATION OF EQUITABLE RELIEF FROM JOINT LIABILITY.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1046" identifier="/us/bill/116/hr/3151/tI/stC/s1203/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><chapeau>Section 6015 <amendingAction type="amend">is amended</amendingAction>—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1058" identifier="/us/bill/116/hr/3151/tI/stC/s1203/a/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>in subsection (e), by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="7">“(7) </num><heading><inline class="smallCaps">Standard and scope of review</inline>.—</heading><chapeau>Any review of a determination made under this section shall be reviewed de novo by the Tax Court and shall be based upon—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>the administrative record established at the time of the determination, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>any additional newly discovered or previously unavailable evidence.”</content></subparagraph></paragraph></quotedContent>; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1084" identifier="/us/bill/116/hr/3151/tI/stC/s1203/a/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>by <amendingAction type="amend">amending</amendingAction> subsection (f) to read as follows:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="f">“(f) </num><heading><inline class="smallCaps">Equitable Relief</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>Under procedures prescribed by the Secretary, if—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>taking into account all the facts and circumstances, it is inequitable to hold the individual liable for any unpaid tax or any deficiency (or any portion of either), and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>relief is not available to such individual under subsection (b) or (c),</content></subparagraph><continuation class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122">the Secretary may relieve such individual of such liability.</continuation></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Limitation</inline>.—</heading><chapeau>A request for equitable relief under this subsection may be made with respect to any portion of any liability that—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>has not been paid, provided that such request is made before the expiration of the applicable period of limitation under section 6502, or</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>has been paid, provided that such request is made during the period in which the individual could submit a timely claim for refund or credit of such payment.”</content></subparagraph></paragraph></subsection></quotedContent>.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1135" identifier="/us/bill/116/hr/3151/tI/stC/s1203/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to petitions or requests filed or pending on or after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e1144" identifier="/us/bill/116/hr/3151/tI/stC/s1204" style="-uslm-lc:I650144"><num value="1204">SEC. 1204. </num><heading>MODIFICATION OF PROCEDURES FOR ISSUANCE OF THIRD-PARTY SUMMONS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1148" identifier="/us/bill/116/hr/3151/tI/stC/s1204/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 7609(f) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following flush sentence:<quotedContent><p class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120">“The Secretary shall not issue any summons described in the preceding sentence unless the information sought to be obtained is narrowly tailored to information that pertains to the failure (or potential failure) of the person or group or class of persons referred to in paragraph (2) to comply with one or more provisions of the internal revenue law which have been identified for purposes of such paragraph.”</p></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1167" identifier="/us/bill/116/hr/3151/tI/stC/s1204/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to summonses served after the date that is 45 days after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e1177" identifier="/us/bill/116/hr/3151/tI/stC/s1205" style="-uslm-lc:I650144"><num value="1205">SEC. 1205. </num><heading>PRIVATE DEBT COLLECTION AND SPECIAL COMPLIANCE PERSONNEL PROGRAM.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1181" identifier="/us/bill/116/hr/3151/tI/stC/s1205/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">Certain Tax Receivables Not Eligible for Collection Under Tax Collection Contracts</inline>.—</heading><content>Section 6306(d)(3) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>or</quotedText>” at the end of subparagraph (C) and by <amendingAction type="insert">inserting</amendingAction> after subparagraph (D) the following new subparagraphs:<quotedContent><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="E">“(E) </num><content>a taxpayer substantially all of whose income consists of disability insurance benefits under section 223 of the Social Security Act or supplemental security income benefits under title XVI of the Social Security Act (including supplemental security income benefits of the type described in section 1616 of such Act or <ref href="/us/pl/93/66/s212">section 212 of Public Law 93–66</ref>), or</content></subparagraph><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="F">“(F) </num><content>a taxpayer who is an individual with adjusted gross income, as determined for the most recent taxable year for which such information is available, which does not exceed 200 percent of the applicable poverty level (as determined by the Secretary),”</content></subparagraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1213" identifier="/us/bill/116/hr/3151/tI/stC/s1205/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Determination of Inactive Tax Receivables Eligible for Collection Under Tax Collection Contracts</inline>.—</heading><content>Section 6306(c)(2)(A)(ii) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>more than ⅓ of the period of the applicable statute of limitation has lapsed</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>more than 2 years has passed since assessment</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1231" identifier="/us/bill/116/hr/3151/tI/stC/s1205/c" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Maximum Length of Installment Agreements Offered Under Tax Collection Contracts</inline>.—</heading><content>Section 6306(b)(1)(B) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>5 years</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>7 years</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1249" identifier="/us/bill/116/hr/3151/tI/stC/s1205/d" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">Clarification That Special Compliance Personnel Program Account May Be Used for Program Costs</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1256" identifier="/us/bill/116/hr/3151/tI/stC/s1205/d/1" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>Section 6307(b) <amendingAction type="amend">is amended</amendingAction>—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1268" identifier="/us/bill/116/hr/3151/tI/stC/s1205/d/1/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>in paragraph (2), by <amendingAction type="delete">striking</amendingAction> all that follows “<quotedText>under such program</quotedText>” and <amendingAction type="insert">inserting</amendingAction> a period, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1279" identifier="/us/bill/116/hr/3151/tI/stC/s1205/d/1/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>in paragraph (3), by <amendingAction type="delete">striking</amendingAction> all that follows “<quotedText>out of such account</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>for other than program costs.</quotedText>”.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1290" identifier="/us/bill/116/hr/3151/tI/stC/s1205/d/2" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Communications, software, and technology costs treated as program costs</inline>.—</heading><content>Section 6307(d)(2)(B) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>telecommunications</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>communications, software, technology</quotedText>”.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1308" identifier="/us/bill/116/hr/3151/tI/stC/s1205/d/3" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><heading><inline class="smallCaps">Conforming amendment</inline>.—</heading><content>Section 6307(d)(2) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>and</quotedText>” at the end of subparagraph (A), by <amendingAction type="delete">striking</amendingAction> the period at the end of subparagraph (B) and <amendingAction type="insert">inserting</amendingAction> “<quotedText>, and</quotedText>”, and by <amendingAction type="insert">inserting</amendingAction> after subparagraph (B) the following new subparagraph:<quotedContent><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>reimbursement of the Internal Revenue Service or other government agencies for the cost of administering the qualified tax collection program under section 6306.”</content></subparagraph></quotedContent>.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1339" identifier="/us/bill/116/hr/3151/tI/stC/s1205/e" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="e">(e) </num><heading><inline class="smallCaps">Effective Dates</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1346" identifier="/us/bill/116/hr/3151/tI/stC/s1205/e/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Except as otherwise provided in this subsection, the amendments made by this section shall apply to tax receivables identified by the Secretary (or the Secretary’s delegate) after December 31, 2020.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1354" identifier="/us/bill/116/hr/3151/tI/stC/s1205/e/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Maximum length of installment agreements</inline>.—</heading><content>The amendment made by subsection (c) shall apply to contracts entered into after the date of the enactment of this Act.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1362" identifier="/us/bill/116/hr/3151/tI/stC/s1205/e/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><heading><inline class="smallCaps">Use of special compliance personnel program account</inline>.—</heading><content>The amendment made by subsection (d) shall apply to amounts expended from the special compliance personnel program account after the date of the enactment of this Act.</content></paragraph></subsection></section>
<section id="d2739e1371" identifier="/us/bill/116/hr/3151/tI/stC/s1206" style="-uslm-lc:I650144"><num value="1206">SEC. 1206. </num><heading>REFORM OF NOTICE OF CONTACT OF THIRD PARTIES.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1375" identifier="/us/bill/116/hr/3151/tI/stC/s1206/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 7602(c)(1) <amendingAction type="amend">is amended</amendingAction> to read as follows:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">General notice</inline>.—</heading><chapeau>An officer or employee of the Internal Revenue Service may not contact any person other than the taxpayer with respect to the determination or collection of the tax liability of such taxpayer unless such contact occurs during a period (not greater than 1 year) which is specified in a notice which—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>informs the taxpayer that contacts with persons other than the taxpayer are intended to be made during such period, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>except as otherwise provided by the Secretary, is provided to the taxpayer not later than 45 days before the beginning of such period.</content></subparagraph><continuation class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122">Nothing in the preceding sentence shall prevent the issuance of notices to the same taxpayer with respect to the same tax liability with periods specified therein that, in the aggregate, exceed 1 year. A notice shall not be issued under this paragraph unless there is an intent at the time such notice is issued to contact persons other than the taxpayer during the period specified in such notice. The preceding sentence shall not prevent the issuance of a notice if the requirement of such sentence is met on the basis of the assumption that the information sought to be obtained by such contact will not be obtained by other means before such contact.”</continuation></paragraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1407" identifier="/us/bill/116/hr/3151/tI/stC/s1206/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendment made by this section shall apply to notices provided, and contacts of persons made, after the date which is 45 days after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e1416" identifier="/us/bill/116/hr/3151/tI/stC/s1207" style="-uslm-lc:I650144"><num value="1207">SEC. 1207. </num><heading>MODIFICATION OF AUTHORITY TO ISSUE DESIGNATED SUMMONS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1420" identifier="/us/bill/116/hr/3151/tI/stC/s1207/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Paragraph (1) of section 6503(j) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>coordinated examination program</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>coordinated industry case program</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1438" identifier="/us/bill/116/hr/3151/tI/stC/s1207/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Requirements for Summons</inline>.—</heading><content>Clause (i) of section 6503(j)(2)(A) <amendingAction type="amend">is amended</amendingAction> to read as follows:<quotedContent><clause class="indentUp3 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><chapeau>the issuance of such summons is preceded by a review and written approval of such issuance by the Commissioner of the relevant operating division of the Internal Revenue Service and the Chief Counsel which—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>states facts clearly establishing that the Secretary has made reasonable requests for the information that is the subject of the summons, and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>is attached to such summons,”</content></subclause></clause></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1464" identifier="/us/bill/116/hr/3151/tI/stC/s1207/c" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Establishment That Reasonable Requests for Information Were Made</inline>.—</heading><content>Subsection (j) of section 6503 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">“(4) </num><heading><inline class="smallCaps">Establishment that reasonable requests for information were made</inline>.—</heading><content>In any court proceeding described in paragraph (3), the Secretary shall establish that reasonable requests were made for the information that is the subject of the summons.”</content></paragraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1489" identifier="/us/bill/116/hr/3151/tI/stC/s1207/d" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to summonses issued after the date which is 45 days after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e1498" identifier="/us/bill/116/hr/3151/tI/stC/s1208" style="-uslm-lc:I650144"><num value="1208">SEC. 1208. </num><heading>LIMITATION ON ACCESS OF NON-INTERNAL REVENUE SERVICE EMPLOYEES TO RETURNS AND RETURN INFORMATION.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1502" identifier="/us/bill/116/hr/3151/tI/stC/s1208/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 7602 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="f">“(f) </num><heading><inline class="smallCaps">Limitation on Access of Persons Other Than Internal Revenue Service Officers and Employees</inline>.—</heading><content>The Secretary shall not, under the authority of section 6103(n), provide any books, papers, records, or other data obtained pursuant to this section to any person authorized under section 6103(n), except when such person requires such information for the sole purpose of providing expert evaluation and assistance to the Internal Revenue Service. No person other than an officer or employee of the Internal Revenue Service or the Office of Chief Counsel may, on behalf of the Secretary, question a witness under oath whose testimony was obtained pursuant to this section.”</content></subsection></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1527" identifier="/us/bill/116/hr/3151/tI/stC/s1208/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><chapeau>The amendment made by this section—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1535" identifier="/us/bill/116/hr/3151/tI/stC/s1208/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>shall take effect on the date of the enactment of this Act; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1539" identifier="/us/bill/116/hr/3151/tI/stC/s1208/b/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>shall not fail to apply to a contract in effect under section 6103(n) of the Internal Revenue Code of 1986 merely because such contract was in effect before the date of the enactment of this Act.</content></paragraph></subsection></section>
</subtitle>
<subtitle id="d2739e1545" identifier="/us/bill/116/hr/3151/tI/stD" style="-uslm-lc:I650178"><num value="D">Subtitle D—</num><heading>Organizational Modernization</heading>
<section id="d2739e1550" identifier="/us/bill/116/hr/3151/tI/stD/s1301" style="-uslm-lc:I650144"><num value="1301">SEC. 1301. </num><heading>OFFICE OF THE NATIONAL TAXPAYER ADVOCATE.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1554" identifier="/us/bill/116/hr/3151/tI/stD/s1301/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">Taxpayer Advocate Directives</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1561" identifier="/us/bill/116/hr/3151/tI/stD/s1301/a/1" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Section 7803(c) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">“(5) </num><heading><inline class="smallCaps">Taxpayer advocate directives</inline>.—</heading><chapeau>In the case of any Taxpayer Advocate Directive issued by the National Taxpayer Advocate pursuant to a delegation of authority from the Commissioner of Internal Revenue—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>the Commissioner or a Deputy Commissioner shall modify, rescind, or ensure compliance with such directive not later than 90 days after the issuance of such directive, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>in the case of any directive which is modified or rescinded by a Deputy Commissioner, the National Taxpayer Advocate may (not later than 90 days after such modification or rescission) appeal to the Commissioner, and the Commissioner shall (not later than 90 days after such appeal is made) ensure compliance with such directive as issued by the National Taxpayer Advocate or provide the National Taxpayer Advocate with the reasons for any modification or rescission made or upheld by the Commissioner pursuant to such appeal.”</content></subparagraph></paragraph></quotedContent>.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1594" identifier="/us/bill/116/hr/3151/tI/stD/s1301/a/2" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Report to certain committees of congress regarding directives</inline>.—</heading><content>Section 7803(c)(2)(B)(ii) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="redesignate">redesignating</amendingAction> subclauses (VIII) through (XI) as subclauses (IX) through (XII), respectively, and by <amendingAction type="insert">inserting</amendingAction> after subclause (VII) the following new subclause:<quotedContent><subclause class="indentUp4 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="VIII">“(VIII) </num><content>identify any Taxpayer Advocate Directive which was not honored by the Internal Revenue Service in a timely manner, as specified under paragraph (5);”</content></subclause></quotedContent>.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1618" identifier="/us/bill/116/hr/3151/tI/stD/s1301/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">National Taxpayer Advocate Annual Reports to Congress</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1625" identifier="/us/bill/116/hr/3151/tI/stD/s1301/b/1" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">Inclusion of most serious taxpayer problems</inline>.—</heading><content>Section 7803(c)(2)(B)(ii)(III) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>at least 20 of the</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>the 10</quotedText>”.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1643" identifier="/us/bill/116/hr/3151/tI/stD/s1301/b/2" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Coordination with treasury inspector general for tax administration</inline>.—</heading><content>Section 7803(c)(2) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subparagraph:<quotedContent><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="E">“(E) </num><heading><inline class="smallCaps">Coordination with treasury inspector general for tax administration</inline>.—</heading><content>Before beginning any research or study, the National Taxpayer Advocate shall coordinate with the Treasury Inspector General for Tax Administration to ensure that the National Taxpayer Advocate does not duplicate any action that the Treasury Inspector General for Tax Administration has already undertaken or has a plan to undertake.”</content></subparagraph></quotedContent>.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1668" identifier="/us/bill/116/hr/3151/tI/stD/s1301/b/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><heading><inline class="smallCaps">Statistical support</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1675" identifier="/us/bill/116/hr/3151/tI/stD/s1301/b/3/A" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Section 6108 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">“(d) </num><heading><inline class="smallCaps">Statistical Support for National Taxpayer Advocate</inline>.—</heading><content>Upon request of the National Taxpayer Advocate, the Secretary shall, to the extent practicable, provide the National Taxpayer Advocate with statistical support in connection with the preparation by the National Taxpayer Advocate of the annual report described in section 7803(c)(2)(B)(ii). Such statistical support shall include statistical studies, compilations, and the review of information provided by the National Taxpayer Advocate for statistical validity and sound statistical methodology.”</content></subsection></quotedContent>.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1700" identifier="/us/bill/116/hr/3151/tI/stD/s1301/b/3/B" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><heading><inline class="smallCaps">Disclosure of review</inline>.—</heading><content>Section 7803(c)(2)(B)(ii), as amended by subsection (a), <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>and</quotedText>” at the end of subclause (XI), by <amendingAction type="redesignate">redesignating</amendingAction> subclause (XII) as subclause (XIII), and by <amendingAction type="insert">inserting</amendingAction> after subclause (XI) the following new subclause:<quotedContent><subclause class="indentUp4 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="XII">“(XII) </num><content>with respect to any statistical information included in such report, include a statement of whether such statistical information was reviewed or provided by the Secretary under section 6108(d) and, if so, whether the Secretary determined such information to be statistically valid and based on sound statistical methodology; and”</content></subclause></quotedContent>.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1727" identifier="/us/bill/116/hr/3151/tI/stD/s1301/b/3/C" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">(C) </num><heading><inline class="smallCaps">Conforming amendment</inline>.—</heading><content>Section 7803(c)(2)(B)(iii) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following: “<quotedText>The preceding sentence shall not apply with respect to statistical information provided to the Secretary for review, or received from the Secretary, under section 6108(d).</quotedText>”.</content></subparagraph></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1742" identifier="/us/bill/116/hr/3151/tI/stD/s1301/c" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Salary of National Taxpayer Advocate</inline>.—</heading><content>Section 7803(c)(1)(B)(i) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>, or, if the Secretary of the Treasury so determines, at a rate fixed under section 9503 of such title</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1757" identifier="/us/bill/116/hr/3151/tI/stD/s1301/d" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1764" identifier="/us/bill/116/hr/3151/tI/stD/s1301/d/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Except as otherwise provided in this subsection, the amendments made by this section shall take effect on the date of the enactment of this Act.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1772" identifier="/us/bill/116/hr/3151/tI/stD/s1301/d/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Salary of national taxpayer advocate</inline>.—</heading><content>The amendment made by subsection (c) shall apply to compensation paid to individuals appointed as the National Taxpayer Advocate after March 31, 2019.</content></paragraph></subsection></section>
<section id="d2739e1781" identifier="/us/bill/116/hr/3151/tI/stD/s1302" style="-uslm-lc:I650144"><num value="1302">SEC. 1302. </num><heading>MODERNIZATION OF INTERNAL REVENUE SERVICE ORGANIZATIONAL STRUCTURE.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1785" identifier="/us/bill/116/hr/3151/tI/stD/s1302/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><chapeau>Not later than September 30, 2020, the Secretary of the Treasury (or the Secretary’s delegate) shall submit to Congress a comprehensive written plan to redesign the organization of the Internal Revenue Service. Such plan shall—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1793" identifier="/us/bill/116/hr/3151/tI/stD/s1302/a/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>ensure the successful implementation of the priorities specified by Congress in this Act;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1797" identifier="/us/bill/116/hr/3151/tI/stD/s1302/a/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>prioritize taxpayer services to ensure that all taxpayers easily and readily receive the assistance that they need;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1801" identifier="/us/bill/116/hr/3151/tI/stD/s1302/a/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>streamline the structure of the agency including minimizing the duplication of services and responsibilities within the agency;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1805" identifier="/us/bill/116/hr/3151/tI/stD/s1302/a/4" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">(4) </num><content>best position the Internal Revenue Service to combat cybersecurity and other threats to the Internal Revenue Service; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e1809" identifier="/us/bill/116/hr/3151/tI/stD/s1302/a/5" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">(5) </num><content>address whether the Criminal Investigation Division of the Internal Revenue Service should report directly to the Commissioner of Internal Revenue.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1813" identifier="/us/bill/116/hr/3151/tI/stD/s1302/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Repeal of Restriction on Organizational Structure of Internal Revenue Service</inline>.—</heading><content>Paragraph (3) of section 1001(a) of the Internal Revenue Service Restructuring and Reform Act of 1998 shall cease to apply beginning 1 year after the date on which the plan described in subsection (a) is submitted to Congress.</content></subsection></section>
</subtitle>
<subtitle id="d2739e1824" identifier="/us/bill/116/hr/3151/tI/stE" style="-uslm-lc:I650178"><num value="E">Subtitle E—</num><heading>Other Provisions</heading>
<section id="d2739e1829" identifier="/us/bill/116/hr/3151/tI/stE/s1401" style="-uslm-lc:I650144"><num value="1401">SEC. 1401. </num><heading>RETURN PREPARATION PROGRAMS FOR APPLICABLE TAXPAYERS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e1833" identifier="/us/bill/116/hr/3151/tI/stE/s1401/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Chapter 77 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> after section 7526 the following new section:<quotedContent><section style="-uslm-lc:I650145"><num value="7526A">“SEC. 7526A. </num><heading>RETURN PREPARATION PROGRAMS FOR APPLICABLE TAXPAYERS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">“(a) </num><heading><inline class="smallCaps">Establishment of Volunteer Income Tax Assistance Matching Grant Program</inline>.—</heading><content>The Secretary shall establish a Community Volunteer Income Tax Assistance Matching Grant Program under which the Secretary may, subject to the availability of appropriated funds, make grants to provide matching funds for the development, expansion, or continuation of qualified return preparation programs assisting applicable taxpayers and members of underserved populations.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">“(b) </num><heading><inline class="smallCaps">Use of Funds</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>Qualified return preparation programs may use grants received under this section for—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><chapeau>ordinary and necessary costs associated with program operation in accordance with cost principles under the applicable Office of Management and Budget circular, including—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>wages or salaries of persons coordinating the activities of the program,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>developing training materials, conducting training, and performing quality reviews of the returns prepared under the program,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>equipment purchases, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iv">“(iv) </num><content>vehicle-related expenses associated with remote or rural tax preparation services,</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>outreach and educational activities described in subsection (c)(2)(B), and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>services related to financial education and capability, asset development, and the establishment of savings accounts in connection with tax return preparation.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Requirement of matching funds</inline>.—</heading><chapeau>A qualified return preparation program must provide matching funds on a dollar-for-dollar basis for all grants provided under this section. Matching funds may include—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>the salary (including fringe benefits) of individuals performing services for the program,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>the cost of equipment used in the program, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>other ordinary and necessary costs associated with the program.</content></subparagraph><continuation class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122">Indirect expenses, including general overhead of any entity administering the program, shall not be counted as matching funds.</continuation></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">“(c) </num><heading><inline class="smallCaps">Application</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Each applicant for a grant under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may reasonably require.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Priority</inline>.—</heading><chapeau>In awarding grants under this section, the Secretary shall give priority to applications which demonstrate—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>assistance to applicable taxpayers, with emphasis on outreach to, and services for, such taxpayers,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>taxpayer outreach and educational activities relating to eligibility and availability of income supports available through this title, including the earned income tax credit, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>specific outreach and focus on one or more underserved populations.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">Amounts taken into account</inline>.—</heading><content>In determining matching grants under this section, the Secretary shall only take into account amounts provided by the qualified return preparation program for expenses described in subsection (b).</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">“(d) </num><heading><inline class="smallCaps">Program Adherence</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>The Secretary shall establish procedures for, and shall conduct not less frequently than once every 5 calendar years during which a qualified return preparation program is operating under a grant under this section, periodic site visits—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>to ensure the program is carrying out the purposes of this section, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>to determine whether the program meets such program adherence standards as the Secretary shall by regulation or other guidance prescribe.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Additional requirements for grant recipients not meeting program adherence standards</inline>.—</heading><chapeau>In the case of any qualified return preparation program which—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>is awarded a grant under this section, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><chapeau>is subsequently determined—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>not to meet the program adherence standards described in paragraph (1)(B), or</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>not to be otherwise carrying out the purposes of this section,</content></clause></subparagraph><continuation class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122">such program shall not be eligible for any additional grants under this section unless such program provides sufficient documentation of corrective measures established to address any such deficiencies determined.</continuation></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="e">“(e) </num><heading><inline class="smallCaps">Definitions</inline>.—</heading><chapeau>For purposes of this section—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">Qualified return preparation program</inline>.—</heading><chapeau>The term ‘<term>qualified return preparation program</term>’ means any program—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>which provides assistance to individuals, not less than 90 percent of whom are applicable taxpayers, in preparing and filing Federal income tax returns,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>which is administered by a qualified entity,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>in which all volunteers who assist in the preparation of Federal income tax returns meet the training requirements prescribed by the Secretary, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">“(D) </num><content>which uses a quality review process which reviews 100 percent of all returns.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Qualified entity</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>The term ‘<term>qualified entity</term>’ means any entity which—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>is an eligible organization,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>is in compliance with Federal tax filing and payment requirements,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>is not debarred or suspended from Federal contracts, grants, or cooperative agreements, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iv">“(iv) </num><content>agrees to provide documentation to substantiate any matching funds provided pursuant to the grant program under this section.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Eligible organization</inline>.—</heading><chapeau>The term ‘<term>eligible organization</term>’ means—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>an institution of higher education which is described in section 102 (other than subsection (a)(1)(C) thereof) of the Higher Education Act of 1965 (<ref href="/us/usc/t20/s1002">20 U.S.C. 1002</ref>), as in effect on the date of the enactment of this section, and which has not been disqualified from participating in a program under title IV of such Act,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>an organization described in section 501(c) and exempt from tax under section 501(a),</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><chapeau>a local government agency, including—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>a county or municipal government agency, and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>an Indian tribe, as defined in section 4(13) of the Native American Housing Assistance and Self-Determination Act of 1996 (<ref href="/us/usc/t25/s4103/13">25 U.S.C. 4103(13)</ref>), including any tribally designated housing entity (as defined in section 4(22) of such Act (<ref href="/us/usc/t25/s4103/22">25 U.S.C. 4103(22)</ref>)), tribal subsidiary, subdivision, or other wholly owned tribal entity,</content></subclause></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iv">“(iv) </num><content>a local, State, regional, or national coalition (with one lead organization which meets the eligibility requirements of clause (i), (ii), or (iii) acting as the applicant organization), or</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="v">“(v) </num><chapeau>in the case of applicable taxpayers and members of underserved populations with respect to which no organizations described in the preceding clauses are available—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>a State government agency, or</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>an office providing Cooperative Extension services (as established at the land-grant colleges and universities under the Smith-Lever Act of May 8, 1914).</content></subclause></clause></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">Applicable taxpayers</inline>.—</heading><content>The term ‘<term>applicable taxpayer</term>’ means a taxpayer whose income for the taxable year does not exceed an amount equal to the completed phaseout amount under section 32(b) for a married couple filing a joint return with three or more qualifying children, as determined in a revenue procedure or other published guidance.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">“(4) </num><heading><inline class="smallCaps">Underserved population</inline>.—</heading><content>The term ‘<term>underserved population</term>’ includes populations of persons with disabilities, persons with limited English proficiency, Native Americans, individuals living in rural areas, members of the Armed Forces and their spouses, and the elderly.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="f">“(f) </num><heading><inline class="smallCaps">Special Rules and Limitations</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">Duration of grants</inline>.—</heading><content>Upon application of a qualified return preparation program, the Secretary is authorized to award a multi-year grant not to exceed 3 years.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Aggregate limitation</inline>.—</heading><content>Unless otherwise provided by specific appropriation, the Secretary shall not allocate more than $30 million per fiscal year (exclusive of costs of administering the program) to grants under this section.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="g">“(g) </num><heading><inline class="smallCaps">Promotion of Programs</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>The Secretary shall promote tax preparation through qualified return preparation programs through the use of mass communications and other means.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Provision of information regarding qualified return preparation programs</inline>.—</heading><content>The Secretary may provide taxpayers information regarding qualified return preparation programs receiving grants under this section.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">Referrals to low-income taxpayer clinics</inline>.—</heading><chapeau>Qualified return preparation programs receiving a grant under this section are encouraged, in appropriate cases, to—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>advise taxpayers of the availability of, and eligibility requirements for receiving, advice and assistance from qualified low-income taxpayer clinics receiving funding under section 7526, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>provide information regarding the location of, and contact information for, such clinics.”</content></subparagraph></paragraph></subsection></section>
</quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2216" identifier="/us/bill/116/hr/3151/tI/stE/s1401/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Clerical Amendment</inline>.—</heading><content>The table of sections for chapter 77 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> after the item relating to section 7526 the following new item:<quotedContent><?GPOvSpace 04?>
<toc>
<referenceItem role="section" style="-uslm-lc:I651142">
<designator>“Sec. 7526A. </designator>
<label>Return preparation programs for applicable taxpayers.”.</label>
</referenceItem></toc>
</quotedContent></content></subsection></section>
<section id="d2739e2243" identifier="/us/bill/116/hr/3151/tI/stE/s1402" style="-uslm-lc:I650144"><num value="1402">SEC. 1402. </num><heading>PROVISION OF INFORMATION REGARDING LOW-INCOME TAXPAYER CLINICS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2247" identifier="/us/bill/116/hr/3151/tI/stE/s1402/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 7526(c) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="6">“(6) </num><heading><inline class="smallCaps">Provision of information regarding qualified low-income taxpayer clinics</inline>.—</heading><chapeau>Notwithstanding any other provision of law, officers and employees of the Department of the Treasury may—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>advise taxpayers of the availability of, and eligibility requirements for receiving, advice and assistance from one or more specific qualified low-income taxpayer clinics receiving funding under this section, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>provide information regarding the location of, and contact information for, such clinics.”</content></subparagraph></paragraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2280" identifier="/us/bill/116/hr/3151/tI/stE/s1402/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendment made by this section shall take effect on the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e2289" identifier="/us/bill/116/hr/3151/tI/stE/s1403" style="-uslm-lc:I650144"><num value="1403">SEC. 1403. </num><heading>NOTICE FROM IRS REGARDING CLOSURE OF TAXPAYER ASSISTANCE CENTERS.</heading><chapeau class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"> Not later than 90 days before the date that a proposed closure of a Taxpayer Assistance Center would take effect, the Secretary of the Treasury (or the Secretary’s delegate) shall—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2295" identifier="/us/bill/116/hr/3151/tI/stE/s1403/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><chapeau>make publicly available (including by non-electronic means) a notice which—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2299" identifier="/us/bill/116/hr/3151/tI/stE/s1403/1/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>identifies the Taxpayer Assistance Center proposed for closure and the date of such proposed closure; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2303" identifier="/us/bill/116/hr/3151/tI/stE/s1403/1/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>identifies the relevant alternative sources of taxpayer assistance which may be utilized by taxpayers affected by such proposed closure; and</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2307" identifier="/us/bill/116/hr/3151/tI/stE/s1403/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><chapeau>submit to Congress a written report that includes—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2311" identifier="/us/bill/116/hr/3151/tI/stE/s1403/2/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>the information included in the notice described in paragraph (1);</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2315" identifier="/us/bill/116/hr/3151/tI/stE/s1403/2/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>the reasons for such proposed closure; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2319" identifier="/us/bill/116/hr/3151/tI/stE/s1403/2/C" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">(C) </num><content>such other information as the Secretary may determine appropriate.</content></subparagraph></paragraph></section>
<section id="d2739e2324" identifier="/us/bill/116/hr/3151/tI/stE/s1404" style="-uslm-lc:I650144"><num value="1404">SEC. 1404. </num><heading>RULES FOR SEIZURE AND SALE OF PERISHABLE GOODS RESTRICTED TO ONLY PERISHABLE GOODS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2328" identifier="/us/bill/116/hr/3151/tI/stE/s1404/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 6336 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>or become greatly reduced in price or value by keeping, or that such property cannot be kept without great expense</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2343" identifier="/us/bill/116/hr/3151/tI/stE/s1404/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendment made by this section shall apply to property seized after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e2353" identifier="/us/bill/116/hr/3151/tI/stE/s1405" style="-uslm-lc:I650144"><num value="1405">SEC. 1405. </num><heading>WHISTLEBLOWER REFORMS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2357" identifier="/us/bill/116/hr/3151/tI/stE/s1405/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">Modifications to Disclosure Rules for Whistleblowers</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2364" identifier="/us/bill/116/hr/3151/tI/stE/s1405/a/1" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Section 6103(k) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="13">“(13) </num><heading><inline class="smallCaps">Disclosure to whistleblowers</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>The Secretary may disclose, to any individual providing information relating to any purpose described in paragraph (1) or (2) of section 7623(a), return information related to the investigation of any taxpayer with respect to whom the individual has provided such information, but only to the extent that such disclosure is necessary in obtaining information, which is not otherwise reasonably available, with respect to the correct determination of tax liability for tax, or the amount to be collected with respect to the enforcement of any other provision of this title.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Updates on whistleblower investigations</inline>.—</heading><chapeau>The Secretary shall disclose to an individual providing information relating to any purpose described in paragraph (1) or (2) of section 7623(a) the following:</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>Not later than 60 days after a case for which the individual has provided information has been referred for an audit or examination, a notice with respect to such referral.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>Not later than 60 days after a taxpayer with respect to whom the individual has provided information has made a payment of tax with respect to tax liability to which such information relates, a notice with respect to such payment.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><chapeau>Subject to such requirements and conditions as are prescribed by the Secretary, upon a written request by such individual—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>information on the status and stage of any investigation or action related to such information, and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>in the case of a determination of the amount of any award under section 7623(b), the reasons for such determination.</content></subclause></clause><continuation class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124">Clause (iii) shall not apply to any information if the Secretary determines that disclosure of such information would seriously impair Federal tax administration. Information described in clauses (i), (ii), and (iii) may be disclosed to a designee of the individual providing such information in accordance with guidance provided by the Secretary.”</continuation></subparagraph></paragraph></quotedContent>.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2426" identifier="/us/bill/116/hr/3151/tI/stE/s1405/a/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Conforming amendments</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2433" identifier="/us/bill/116/hr/3151/tI/stE/s1405/a/2/A" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><heading><inline class="smallCaps">Confidentiality of information</inline>.—</heading><content>Section 6103(a)(3) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>subsection (k)(10)</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>paragraph (10) or (13) of subsection (k)</quotedText>”.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2451" identifier="/us/bill/116/hr/3151/tI/stE/s1405/a/2/B" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><heading><inline class="smallCaps">Penalty for unauthorized disclosure</inline>.—</heading><content>Section 7213(a)(2) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>(k)(10)</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>(k)(10) or (13)</quotedText>”.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2469" identifier="/us/bill/116/hr/3151/tI/stE/s1405/a/2/C" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">(C) </num><heading><inline class="smallCaps">Coordination with authority to disclose for investigative purposes</inline>.—</heading><content>Section 6103(k)(6) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new sentence: “<quotedText>This paragraph shall not apply to any disclosure to an individual providing information relating to any purpose described in paragraph (1) or (2) of section 7623(a) which is made under paragraph (13)(A).</quotedText>”.</content></subparagraph></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2484" identifier="/us/bill/116/hr/3151/tI/stE/s1405/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Protection Against Retaliation</inline>.—</heading><content>Section 7623 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">“(d) </num><heading><inline class="smallCaps">Civil Action To Protect Against Retaliation Cases</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">Anti-retaliation whistleblower protection for employees</inline>.—</heading><chapeau>No employer, or any officer, employee, contractor, subcontractor, or agent of such employer, may discharge, demote, suspend, threaten, harass, or in any other manner discriminate against an employee in the terms and conditions of employment (including through an act in the ordinary course of such employee’s duties) in reprisal for any lawful act done by the employee—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>to provide information, cause information to be provided, or otherwise assist in an investigation regarding underpayment of tax or any conduct which the employee reasonably believes constitutes a violation of the internal revenue laws or any provision of Federal law relating to tax fraud, when the information or assistance is provided to the Internal Revenue Service, the Secretary of the Treasury, the Treasury Inspector General for Tax Administration, the Comptroller General of the United States, the Department of Justice, the United States Congress, a person with supervisory authority over the employee, or any other person working for the employer who has the authority to investigate, discover, or terminate misconduct, or</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>to testify, participate in, or otherwise assist in any administrative or judicial action taken by the Internal Revenue Service relating to an alleged underpayment of tax or any violation of the internal revenue laws or any provision of Federal law relating to tax fraud.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Enforcement action</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>A person who alleges discharge or other reprisal by any person in violation of paragraph (1) may seek relief under paragraph (3) by—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>filing a complaint with the Secretary of Labor, or</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>if the Secretary of Labor has not issued a final decision within 180 days of the filing of the complaint and there is no showing that such delay is due to the bad faith of the claimant, bringing an action at law or equity for de novo review in the appropriate district court of the United States, which shall have jurisdiction over such an action without regard to the amount in controversy.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Procedure</inline>.—</heading><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>An action under subparagraph (A)(i) shall be governed under the rules and procedures set forth in <ref href="/us/usc/t49/s42121/b">section 42121(b) of title 49, United States Code</ref>.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><heading><inline class="smallCaps">Exception</inline>.—</heading><content>Notification made under <ref href="/us/usc/t49/s42121/b/1">section 42121(b)(1) of title 49, United States Code</ref>, shall be made to the person named in the complaint and to the employer.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><heading><inline class="smallCaps">Burdens of proof</inline>.—</heading><chapeau>An action brought under subparagraph (A)(ii) shall be governed by the legal burdens of proof set forth in <ref href="/us/usc/t49/s42121/b">section 42121(b) of title 49, United States Code</ref>, except that in applying such section—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>‘behavior described in paragraph (1)’ shall be substituted for ‘behavior described in paragraphs (1) through (4) of subsection (a)’ each place it appears in paragraph (2)(B) thereof, and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>‘a violation of paragraph (1)’ shall be substituted for ‘a violation of subsection (a)’ each place it appears.</content></subclause></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iv">“(iv) </num><heading><inline class="smallCaps">Statute of limitations</inline>.—</heading><content>A complaint under subparagraph (A)(i) shall be filed not later than 180 days after the date on which the violation occurs.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="v">“(v) </num><heading><inline class="smallCaps">Jury trial</inline>.—</heading><content>A party to an action brought under subparagraph (A)(ii) shall be entitled to trial by jury.</content></clause></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">Remedies</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>An employee prevailing in any action under paragraph (2)(A) shall be entitled to all relief necessary to make the employee whole.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Compensatory damages</inline>.—</heading><chapeau>Relief for any action under subparagraph (A) shall include—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>reinstatement with the same seniority status that the employee would have had, but for the reprisal,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>the sum of 200 percent of the amount of back pay and 100 percent of all lost benefits, with interest, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>compensation for any special damages sustained as a result of the reprisal, including litigation costs, expert witness fees, and reasonable attorney fees.</content></clause></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">“(4) </num><heading><inline class="smallCaps">Rights retained by employee</inline>.—</heading><content>Nothing in this section shall be deemed to diminish the rights, privileges, or remedies of any employee under any Federal or State law, or under any collective bargaining agreement.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">“(5) </num><heading><inline class="smallCaps">Nonenforceability of certain provisions waiving rights and remedies or requiring arbitration of disputes</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">Waiver of rights and remedies</inline>.—</heading><content>The rights and remedies provided for in this subsection may not be waived by any agreement, policy form, or condition of employment, including by a predispute arbitration agreement.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Predispute arbitration agreements</inline>.—</heading><content>No predispute arbitration agreement shall be valid or enforceable, if the agreement requires arbitration of a dispute arising under this subsection.”</content></subparagraph></paragraph></subsection></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2680" identifier="/us/bill/116/hr/3151/tI/stE/s1405/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2687" identifier="/us/bill/116/hr/3151/tI/stE/s1405/c/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>The amendments made by subsection (a) shall apply to disclosures made after the date of the enactment of this Act.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2695" identifier="/us/bill/116/hr/3151/tI/stE/s1405/c/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Civil protection</inline>.—</heading><content>The amendment made by subsection (b) shall take effect on the date of the enactment of this Act.</content></paragraph></subsection></section>
<section id="d2739e2704" identifier="/us/bill/116/hr/3151/tI/stE/s1406" style="-uslm-lc:I650144"><num value="1406">SEC. 1406. </num><heading>CUSTOMER SERVICE INFORMATION.</heading><chapeau class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"> The Secretary of the Treasury (or the Secretary’s delegate) shall provide helpful information to taxpayers placed on hold during a telephone call to any Internal Revenue Service help line, including the following:</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2710" identifier="/us/bill/116/hr/3151/tI/stE/s1406/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>Information about common tax scams.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2714" identifier="/us/bill/116/hr/3151/tI/stE/s1406/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>Information on where and how to report tax scams.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2718" identifier="/us/bill/116/hr/3151/tI/stE/s1406/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>Additional advice on how taxpayers can protect themselves from identity theft and tax scams.</content></paragraph></section>
<section id="d2739e2723" identifier="/us/bill/116/hr/3151/tI/stE/s1407" role="instruction" style="-uslm-lc:I650144"><num value="1407">SEC. 1407. </num><heading>MISDIRECTED TAX REFUND DEPOSITS.</heading><content class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"> Section 6402 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="n">“(n) </num><heading><inline class="smallCaps">Misdirected Direct Deposit Refund</inline>.—</heading><chapeau>Not later than the date which is 6 months after the date of the enactment of the Taxpayer First Act, the Secretary shall prescribe regulations to establish procedures to allow for—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><content>taxpayers to report instances in which a refund made by the Secretary by electronic funds transfer was not transferred to the account of the taxpayer;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><chapeau>coordination with financial institutions for the purpose of—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>identifying the accounts to which transfers described in paragraph (1) were made; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>recovery of the amounts so transferred; and</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><content>the refund to be delivered to the correct account of the taxpayer.”</content></paragraph></subsection></quotedContent>.</content></section>
</subtitle>
<num value="II">TITLE II—</num><heading>21ST CENTURY IRS</heading>
<subtitle id="d2739e2774" identifier="/us/bill/116/hr/3151/tII/stA" style="-uslm-lc:I650178"><num value="A">Subtitle A—</num><heading>Cybersecurity and Identity Protection</heading>
<section id="d2739e2779" identifier="/us/bill/116/hr/3151/tII/stA/s2001" style="-uslm-lc:I650144"><num value="2001">SEC. 2001. </num><heading>PUBLIC-PRIVATE PARTNERSHIP TO ADDRESS IDENTITY THEFT REFUND FRAUD.</heading><content style="-uslm-lc:I650120"> The Secretary of the Treasury (or the Secretary’s delegate) shall work collaboratively with the public and private sectors to protect taxpayers from identity theft refund fraud.</content></section>
<section id="d2739e2786" identifier="/us/bill/116/hr/3151/tII/stA/s2002" style="-uslm-lc:I650144"><num value="2002">SEC. 2002. </num><heading>RECOMMENDATIONS OF ELECTRONIC TAX ADMINISTRATION ADVISORY COMMITTEE REGARDING IDENTITY THEFT REFUND FRAUD.</heading><content style="-uslm-lc:I650120"> The Secretary of the Treasury shall ensure that the advisory group convened by the Secretary pursuant to section 2001(b)(2) of the Internal Revenue Service Restructuring and Reform Act of 1998 (commonly known as the Electronic Tax Administration Advisory Committee) studies (including by providing organized public forums) and makes recommendations to the Secretary regarding methods to prevent identity theft and refund fraud.</content></section>
<section id="d2739e2793" identifier="/us/bill/116/hr/3151/tII/stA/s2003" style="-uslm-lc:I650144"><num value="2003">SEC. 2003. </num><heading>INFORMATION SHARING AND ANALYSIS CENTER.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2797" identifier="/us/bill/116/hr/3151/tII/stA/s2003/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>The Secretary of the Treasury (or the Secretary’s delegate) may participate in an information sharing and analysis center to centralize, standardize, and enhance data compilation and analysis to facilitate sharing actionable data and information with respect to identity theft tax refund fraud.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2805" identifier="/us/bill/116/hr/3151/tII/stA/s2003/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Development of Performance Metrics</inline>.—</heading><content>The Secretary of the Treasury (or the Secretary’s delegate) shall develop metrics for measuring the success of such center in detecting and preventing identity theft tax refund fraud.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2813" identifier="/us/bill/116/hr/3151/tII/stA/s2003/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Disclosure</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2820" identifier="/us/bill/116/hr/3151/tII/stA/s2003/c/1" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Section 6103(k), as amended by this Act, <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="14">“(14) </num><heading><inline class="smallCaps">Disclosure of return information for purposes of cybersecurity and the prevention of identity theft tax refund fraud</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Under such procedures and subject to such conditions as the Secretary may prescribe, the Secretary may disclose specified return information to specified ISAC participants to the extent that the Secretary determines such disclosure is in furtherance of effective Federal tax administration relating to the detection or prevention of identity theft tax refund fraud, validation of taxpayer identity, authentication of taxpayer returns, or detection or prevention of cybersecurity threats.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Specified isac participants</inline>.—</heading><chapeau>For purposes of this paragraph—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>The term ‘<term>specified ISAC participant</term>’ means—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>any person designated by the Secretary as having primary responsibility for a function performed with respect to the information sharing and analysis center described in section 2003(a) of the Taxpayer First Act, and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>any person subject to the requirements of section 7216 and which is a participant in such information sharing and analysis center.</content></subclause></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><heading><inline class="smallCaps">Information sharing agreement</inline>.—</heading><content>Such term shall not include any person unless such person has entered into a written agreement with the Secretary setting forth the terms and conditions for the disclosure of information to such person under this paragraph, including requirements regarding the protection and safeguarding of such information by such person.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><heading><inline class="smallCaps">Specified return information</inline>.—</heading><chapeau>For purposes of this paragraph, the term ‘<term>specified return information</term>’ means—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><chapeau>in the case of a return which is in connection with a case of potential identity theft refund fraud—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>in the case of such return filed electronically, the internet protocol address, device identification, email domain name, speed of completion, method of authentication, refund method, and such other return information related to the electronic filing characteristics of such return as the Secretary may identify for purposes of this subclause, and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>in the case of such return prepared by a tax return preparer, identifying information with respect to such tax return preparer, including the preparer taxpayer identification number and electronic filer identification number of such preparer,</content></subclause></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>in the case of a return which is in connection with a case of a identity theft refund fraud which has been confirmed by the Secretary (pursuant to such procedures as the Secretary may provide), the information referred to in subclauses (I) and (II) of clause (i), the name and taxpayer identification number of the taxpayer as it appears on the return, and any bank account and routing information provided for making a refund in connection with such return, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>in the case of any cybersecurity threat to the Internal Revenue Service, information similar to the information described in subclauses (I) and (II) of clause (i) with respect to such threat.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">“(D) </num><heading><inline class="smallCaps">Restriction on use of disclosed information</inline>.—</heading><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><heading><inline class="smallCaps">Designated third parties</inline>.—</heading><chapeau>Any return information received by a person described in subparagraph (B)(i)(I) shall be used only for the purposes of and to the extent necessary in—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">“(I) </num><content>performing the function such person is designated to perform under such subparagraph,</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">“(II) </num><content>facilitating disclosures authorized under subparagraph (A) to persons described in subparagraph (B)(i)(II), and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="III">“(III) </num><content>facilitating disclosures authorized under subsection (d) to participants in such information sharing and analysis center.</content></subclause></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><heading><inline class="smallCaps">Return preparers</inline>.—</heading><content>Any return information received by a person described in subparagraph (B)(i)(II) shall be treated for purposes of section 7216 as information furnished to such person for, or in connection with, the preparation of a return of the tax imposed under chapter 1.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="E">“(E) </num><heading><inline class="smallCaps">Data protection and safeguards</inline>.—</heading><content>Return information disclosed under this paragraph shall be subject to such protections and safeguards as the Secretary may require in regulations or other guidance or in the written agreement referred to in subparagraph (B)(ii). Such written agreement shall include a requirement that any unauthorized access to information disclosed under this paragraph, and any breach of any system in which such information is held, be reported to the Treasury Inspector General for Tax Administration.”</content></subparagraph></paragraph></quotedContent>.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2955" identifier="/us/bill/116/hr/3151/tII/stA/s2003/c/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Application of civil and criminal penalties</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2962" identifier="/us/bill/116/hr/3151/tII/stA/s2003/c/2/A" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>Section 6103(a)(3), as amended by this Act, <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>or (13)</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>, (13), or (14)</quotedText>”.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e2976" identifier="/us/bill/116/hr/3151/tII/stA/s2003/c/2/B" role="instruction" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>Section 7213(a)(2), as amended by this Act, <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>or (13)</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>, (13), or (14)</quotedText>”.</content></subparagraph></paragraph></subsection></section>
<section id="d2739e2991" identifier="/us/bill/116/hr/3151/tII/stA/s2004" style="-uslm-lc:I650144"><num value="2004">SEC. 2004. </num><heading>COMPLIANCE BY CONTRACTORS WITH CONFIDENTIALITY SAFEGUARDS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e2995" identifier="/us/bill/116/hr/3151/tII/stA/s2004/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 6103(p) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new paragraph:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="9">“(9) </num><heading><inline class="smallCaps">Disclosure to contractors and other agents</inline>.—</heading><chapeau>Notwithstanding any other provision of this section, no return or return information shall be disclosed to any contractor or other agent of a Federal, State, or local agency unless such agency, to the satisfaction of the Secretary—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>has requirements in effect which require each such contractor or other agent which would have access to returns or return information to provide safeguards (within the meaning of paragraph (4)) to protect the confidentiality of such returns or return information,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>agrees to conduct an on-site review every 3 years (or a mid-point review in the case of contracts or agreements of less than 3 years in duration) of each contractor or other agent to determine compliance with such requirements,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>submits the findings of the most recent review conducted under subparagraph (B) to the Secretary as part of the report required by paragraph (4)(E), and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">“(D) </num><content>certifies to the Secretary for the most recent annual period that such contractor or other agent is in compliance with all such requirements.</content></subparagraph><continuation class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122">The certification required by subparagraph (D) shall include the name and address of each contractor or other agent, a description of the contract or agreement with such contractor or other agent, and the duration of such contract or agreement. The requirements of this paragraph shall not apply to disclosures pursuant to subsection (n) for purposes of Federal tax administration.”</continuation></paragraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3038" identifier="/us/bill/116/hr/3151/tII/stA/s2004/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Conforming Amendment</inline>.—</heading><content>Section 6103(p)(8)(B) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> “<quotedText>or paragraph (9)</quotedText>” after “<quotedText>subparagraph (A)</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3053" identifier="/us/bill/116/hr/3151/tII/stA/s2004/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to disclosures made after December 31, 2022.</content></subsection></section>
<section id="d2739e3063" identifier="/us/bill/116/hr/3151/tII/stA/s2005" style="-uslm-lc:I650144"><num value="2005">SEC. 2005. </num><heading>IDENTITY PROTECTION PERSONAL IDENTIFICATION NUMBERS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3067" identifier="/us/bill/116/hr/3151/tII/stA/s2005/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Subject to subsection (b), the Secretary of the Treasury or the Secretary’s delegate (hereafter referred to in this section as the “Secretary”) shall establish a program to issue, upon the request of any individual, a number which may be used in connection with such individual’s social security number (or other identifying information with respect to such individual as determined by the Secretary) to assist the Secretary in verifying such individual’s identity.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3075" identifier="/us/bill/116/hr/3151/tII/stA/s2005/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Requirements</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3082" identifier="/us/bill/116/hr/3151/tII/stA/s2005/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">Annual expansion</inline>.—</heading><content>For each calendar year beginning after the date of the enactment of this Act, the Secretary shall provide numbers through the program described in subsection (a) to individuals residing in such States as the Secretary deems appropriate, provided that the total number of States served by such program during such year is greater than the total number of States served by such program during the preceding year.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3090" identifier="/us/bill/116/hr/3151/tII/stA/s2005/b/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Nationwide availability</inline>.—</heading><content>Not later than 5 years after the date of the enactment of this Act, the Secretary shall ensure that the program described in subsection (a) is made available to any individual residing in the United States.</content></paragraph></subsection></section>
<section id="d2739e3099" identifier="/us/bill/116/hr/3151/tII/stA/s2006" style="-uslm-lc:I650144"><num value="2006">SEC. 2006. </num><heading>SINGLE POINT OF CONTACT FOR TAX-RELATED IDENTITY THEFT VICTIMS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3103" identifier="/us/bill/116/hr/3151/tII/stA/s2006/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>The Secretary of the Treasury (or the Secretary’s delegate) shall establish and implement procedures to ensure that any taxpayer whose return has been delayed or otherwise adversely affected due to tax-related identity theft has a single point of contact at the Internal Revenue Service throughout the processing of the taxpayer’s case. The single point of contact shall track the taxpayer’s case to completion and coordinate with other Internal Revenue Service employees to resolve case issues as quickly as possible.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3111" identifier="/us/bill/116/hr/3151/tII/stA/s2006/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Single Point of Contact</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3118" identifier="/us/bill/116/hr/3151/tII/stA/s2006/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>For purposes of subsection (a), the single point of contact shall consist of a team or subset of specially trained employees who—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3126" identifier="/us/bill/116/hr/3151/tII/stA/s2006/b/1/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>have the ability to work across functions to resolve the issues involved in the taxpayer’s case; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3130" identifier="/us/bill/116/hr/3151/tII/stA/s2006/b/1/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>shall be accountable for handling the case until its resolution.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3134" identifier="/us/bill/116/hr/3151/tII/stA/s2006/b/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Team or subset</inline>.—</heading><chapeau>The employees included within the team or subset described in paragraph (1) may change as required to meet the needs of the Internal Revenue Service, provided that procedures have been established to—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3142" identifier="/us/bill/116/hr/3151/tII/stA/s2006/b/2/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>ensure continuity of records and case history; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3146" identifier="/us/bill/116/hr/3151/tII/stA/s2006/b/2/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>notify the taxpayer when appropriate.</content></subparagraph></paragraph></subsection></section>
<section id="d2739e3151" identifier="/us/bill/116/hr/3151/tII/stA/s2007" style="-uslm-lc:I650144"><num value="2007">SEC. 2007. </num><heading>NOTIFICATION OF SUSPECTED IDENTITY THEFT.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3155" identifier="/us/bill/116/hr/3151/tII/stA/s2007/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Chapter 77 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new section:<quotedContent><section style="-uslm-lc:I650144"><num class="bold " value="7529">“SEC. 7529. </num><heading class="bold ">NOTIFICATION OF SUSPECTED IDENTITY THEFT.</heading><subsection class="indentDown2 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">“(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><chapeau>If the Secretary determines that there has been or may have been an unauthorized use of the identity of any individual, the Secretary shall, without jeopardizing an investigation relating to tax administration—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><chapeau>as soon as practicable—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>notify the individual of such determination,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>provide instructions on how to file a report with law enforcement regarding the unauthorized use,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>identify any steps to be taken by the individual to permit law enforcement to access personal information of the individual during the investigation,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">“(D) </num><content>provide information regarding actions the individual may take in order to protect the individual from harm relating to the unauthorized use, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="E">“(E) </num><content>offer identity protection measures to the individual, such as the use of an identity protection personal identification number, and</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><chapeau>at the time the information described in paragraph (1) is provided (or, if not available at such time, as soon as practicable thereafter), issue additional notifications to such individual (or such individual’s designee) regarding—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>whether an investigation has been initiated in regards to such unauthorized use,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>whether the investigation substantiated an unauthorized use of the identity of the individual, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><chapeau>whether—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>any action has been taken against a person relating to such unauthorized use, or</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>any referral has been made for criminal prosecution of such person and, to the extent such information is available, whether such person has been criminally charged by indictment or information.</content></clause></subparagraph></paragraph></subsection><subsection class="indentDown2 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">“(b) </num><heading><inline class="smallCaps">Employment-Related Identity Theft</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>For purposes of this section, the unauthorized use of the identity of an individual includes the unauthorized use of the identity of the individual to obtain employment.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Determination of employment-related identity theft</inline>.—</heading><chapeau>For purposes of this section, in making a determination as to whether there has been or may have been an unauthorized use of the identity of an individual to obtain employment, the Secretary shall review any information—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>obtained from a statement described in section 6051 or an information return relating to compensation for services rendered other than as an employee, or</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>provided to the Internal Revenue Service by the Social Security Administration regarding any statement described in section 6051,</content></subparagraph><continuation class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122">which indicates that the social security account number provided on such statement or information return does not correspond with the name provided on such statement or information return or the name on the tax return reporting the income which is included on such statement or information return.”</continuation></paragraph></subsection></section>
</quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3267" identifier="/us/bill/116/hr/3151/tII/stA/s2007/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Additional Measures</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3274" identifier="/us/bill/116/hr/3151/tII/stA/s2007/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">Examination of both paper and electronic statements and returns</inline>.—</heading><content>The Secretary of the Treasury (or the Secretary’s delegate) shall examine the statements, information returns, and tax returns described in section 7529(b)(2) of the Internal Revenue Code of 1986 (as added by subsection (a)) for any evidence of employment-related identity theft, regardless of whether such statements or returns are submitted electronically or on paper.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3282" identifier="/us/bill/116/hr/3151/tII/stA/s2007/b/2" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Improvement of effective return processing program with social security administration</inline>.—</heading><content>Section 232 of the Social Security Act (<ref href="/us/usc/t42/s432">42 U.S.C. 432</ref>) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> after the third sentence the following: “<quotedText>For purposes of carrying out the return processing program described in the preceding sentence, the Commissioner of Social Security shall request, not less than annually, such information described in section 7529(b)(2) of the Internal Revenue Code of 1986 as may be necessary to ensure the accuracy of the records maintained by the Commissioner of Social Security related to the amounts of wages paid to, and the amounts of self-employment income derived by, individuals.</quotedText>”.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3300" identifier="/us/bill/116/hr/3151/tII/stA/s2007/b/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><heading><inline class="smallCaps">Underreporting of income</inline>.—</heading><content>The Secretary of the Treasury (or the Secretary’s delegate) shall establish procedures to ensure that income reported in connection with the unauthorized use of a taxpayer’s identity is not taken into account in determining any penalty for underreporting of income by the victim of identity theft.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3308" identifier="/us/bill/116/hr/3151/tII/stA/s2007/c" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Clerical Amendment</inline>.—</heading><content>The table of sections for chapter 77 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new item:<quotedContent><?GPOvSpace 04?>
<toc>
<referenceItem role="section" style="-uslm-lc:I651142">
<designator>“Sec. 7529. </designator>
<label>Notification of suspected identity theft.”.<?GPOvSpace 04?></label>
</referenceItem></toc>
</quotedContent></content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3336" identifier="/us/bill/116/hr/3151/tII/stA/s2007/d" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to determinations made after the date that is 6 months after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e3345" identifier="/us/bill/116/hr/3151/tII/stA/s2008" style="-uslm-lc:I650144"><num value="2008">SEC. 2008. </num><heading>GUIDELINES FOR STOLEN IDENTITY REFUND FRAUD CASES.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3349" identifier="/us/bill/116/hr/3151/tII/stA/s2008/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Not later than 1 year after the date of the enactment of this Act, the Secretary of the Treasury (or the Secretary’s delegate), in consultation with the National Taxpayer Advocate, shall develop and implement publicly available guidelines for management of cases involving stolen identity refund fraud in a manner that reduces the administrative burden on taxpayers who are victims of such fraud.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3357" identifier="/us/bill/116/hr/3151/tII/stA/s2008/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Standards and Procedures To Be Considered</inline>.—</heading><chapeau>The guidelines described in subsection (a) may include—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3365" identifier="/us/bill/116/hr/3151/tII/stA/s2008/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><chapeau>standards for—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3369" identifier="/us/bill/116/hr/3151/tII/stA/s2008/b/1/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>the average length of time in which a case involving stolen identity refund fraud should be resolved;</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3373" identifier="/us/bill/116/hr/3151/tII/stA/s2008/b/1/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>the maximum length of time, on average, a taxpayer who is a victim of stolen identity refund fraud and is entitled to a tax refund which has been stolen should have to wait to receive such refund; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3377" identifier="/us/bill/116/hr/3151/tII/stA/s2008/b/1/C" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">(C) </num><content>the maximum number of offices and employees within the Internal Revenue Service with whom a taxpayer who is a victim of stolen identity refund fraud should be required to interact in order to resolve a case;</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3381" identifier="/us/bill/116/hr/3151/tII/stA/s2008/b/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>standards for opening, assigning, reassigning, or closing a case involving stolen identity refund fraud; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3385" identifier="/us/bill/116/hr/3151/tII/stA/s2008/b/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>procedures for implementing and accomplishing the standards described in paragraphs (1) and (2), and measures for evaluating such procedures and determining whether such standards have been successfully implemented.</content></paragraph></subsection></section>
<section id="d2739e3390" identifier="/us/bill/116/hr/3151/tII/stA/s2009" style="-uslm-lc:I650144"><num value="2009">SEC. 2009. </num><heading>INCREASED PENALTY FOR IMPROPER DISCLOSURE OR USE OF INFORMATION BY PREPARERS OF RETURNS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3394" identifier="/us/bill/116/hr/3151/tII/stA/s2009/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><chapeau>Section 6713 <amendingAction type="amend">is amended</amendingAction>—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3406" identifier="/us/bill/116/hr/3151/tII/stA/s2009/a/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>by <amendingAction type="redesignate">redesignating</amendingAction> subsections (b) and (c) as subsections (c) and (d), respectively; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3414" identifier="/us/bill/116/hr/3151/tII/stA/s2009/a/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>by <amendingAction type="insert">inserting</amendingAction> after subsection (a) the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">“(b) </num><heading><inline class="smallCaps">Enhanced Penalty for Improper Use or Disclosure Relating to Identity Theft</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>In the case of a disclosure or use described in subsection (a) that is made in connection with a crime relating to the misappropriation of another person’s taxpayer identity (as defined in section 6103(b)(6)), whether or not such crime involves any tax filing, subsection (a) shall be applied—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>by substituting ‘$1,000’ for ‘$250’, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>by substituting ‘$50,000’ for ‘$10,000’.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Separate application of total penalty limitation</inline>.—</heading><content>The limitation on the total amount of the penalty under subsection (a) shall be applied separately with respect to disclosures or uses to which this subsection applies and to which it does not apply.”</content></paragraph></subsection></quotedContent>.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3455" identifier="/us/bill/116/hr/3151/tII/stA/s2009/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Criminal Penalty</inline>.—</heading><content>Section 7216(a) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>$1,000</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>$1,000 ($100,000 in the case of a disclosure or use to which section 6713(b) applies)</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3473" identifier="/us/bill/116/hr/3151/tII/stA/s2009/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to disclosures or uses on or after the date of the enactment of this Act.</content></subsection></section>
</subtitle>
<subtitle id="d2739e3483" identifier="/us/bill/116/hr/3151/tII/stB" style="-uslm-lc:I650178"><num value="B">Subtitle B—</num><heading>Development of Information Technology</heading>
<section id="d2739e3488" identifier="/us/bill/116/hr/3151/tII/stB/s2101" style="-uslm-lc:I650144"><num value="2101">SEC. 2101. </num><heading>MANAGEMENT OF INTERNAL REVENUE SERVICE INFORMATION TECHNOLOGY.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3492" identifier="/us/bill/116/hr/3151/tII/stB/s2101/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">Duties and Responsibilities of Internal Revenue Service Chief Information Officer</inline>.—</heading><content>Section 7803, as amended by section 1001, <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="f">“(f) </num><heading><inline class="smallCaps">Internal Revenue Service Chief Information Officer</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>There shall be in the Internal Revenue Service an Internal Revenue Service Chief Information Officer (hereafter referred to in this subsection as the ‘IRS CIO’) who shall be appointed by the Commissioner of Internal Revenue.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><heading><inline class="smallCaps">Centralized responsibility for internal revenue service information technology</inline>.—</heading><content>The Commissioner of Internal Revenue (and the Secretary) shall act through the IRS CIO with respect to all development, implementation, and maintenance of information technology for the Internal Revenue Service. Any reference in this subsection to the IRS CIO which directs the IRS CIO to take any action, or to assume any responsibility, shall be treated as a reference to the Commissioner of Internal Revenue acting through the IRS CIO.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">General duties and responsibilities</inline>.—</heading><chapeau>The IRS CIO shall—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>be responsible for the development, implementation, and maintenance of information technology for the Internal Revenue Service,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>ensure that the information technology of the Internal Revenue Service is secure and integrated,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>maintain operational control of all information technology for the Internal Revenue Service,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">“(D) </num><content>be the principal advocate for the information technology needs of the Internal Revenue Service, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="E">“(E) </num><chapeau>consult with the Chief Procurement Officer of the Internal Revenue Service to ensure that the information technology acquired for the Internal Revenue Service is consistent with—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>the goals and requirements specified in subparagraphs (A) through (D), and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>the strategic plan developed under paragraph (4).</content></clause></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">“(4) </num><heading><inline class="smallCaps">Strategic plan</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>The IRS CIO shall develop and implement a multiyear strategic plan for the information technology needs of the Internal Revenue Service. Such plan shall—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>include performance measurements of such technology and of the implementation of such plan,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>include a plan for an integrated enterprise architecture of the information technology of the Internal Revenue Service,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>include and take into account the resources needed to accomplish such plan,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iv">“(iv) </num><content>take into account planned major acquisitions of information technology by the Internal Revenue Service, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="v">“(v) </num><content>align with the needs and strategic plan of the Internal Revenue Service.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Plan updates</inline>.—</heading><content>The IRS CIO shall, not less frequently than annually, review and update the strategic plan under subparagraph (A) (including the plan for an integrated enterprise architecture described in subparagraph (A)(ii)) to take into account the development of new information technology and the needs of the Internal Revenue Service.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">“(5) </num><heading><inline class="smallCaps">Scope of authority</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">Information technology</inline>.—</heading><content>For purposes of this subsection, the term ‘<term>information technology</term>’ has the meaning given such term by <ref href="/us/usc/t40/s11101">section 11101 of title 40, United States Code</ref>.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Internal revenue service</inline>.—</heading><chapeau>Any reference in this subsection to the Internal Revenue Service includes a reference to all components of the Internal Revenue Service, including—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>the Office of the Taxpayer Advocate,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>the Criminal Investigation Division of the Internal Revenue Service, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>except as otherwise provided by the Secretary with respect to information technology related to matters described in subsection (b)(3)(B), the Office of the Chief Counsel.”</content></clause></subparagraph></paragraph></subsection></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3650" identifier="/us/bill/116/hr/3151/tII/stB/s2101/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Independent Verification and Validation of the Customer Account Data Engine 2 and Enterprise Case Management System</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3657" identifier="/us/bill/116/hr/3151/tII/stB/s2101/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>The Commissioner of Internal Revenue shall enter into a contract with an independent reviewer to verify and validate the implementation plans (including the performance milestones and cost estimates included in such plans) developed for the Customer Account Data Engine 2 and the Enterprise Case Management System.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3665" identifier="/us/bill/116/hr/3151/tII/stB/s2101/b/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Deadline for completion</inline>.—</heading><content>Such contract shall require that such verification and validation be completed not later than the date which is 1 year after the date of the enactment of this Act.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3673" identifier="/us/bill/116/hr/3151/tII/stB/s2101/b/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><heading><inline class="smallCaps">Application to phases of cade 2</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3680" identifier="/us/bill/116/hr/3151/tII/stB/s2101/b/3/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Paragraphs (1) and (2) shall not apply to phase 1 of the Customer Account Data Engine 2 and shall apply separately to each other phase.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3688" identifier="/us/bill/116/hr/3151/tII/stB/s2101/b/3/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><heading><inline class="smallCaps">Deadline for completing plans</inline>.—</heading><content>Not later than 1 year after the date of the enactment of this Act, the Commissioner of Internal Revenue shall complete the development of plans for all phases of the Customer Account Data Engine 2.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3696" identifier="/us/bill/116/hr/3151/tII/stB/s2101/b/3/C" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">(C) </num><heading><inline class="smallCaps">Deadline for completion of verification and validation of plans</inline>.—</heading><content>In the case of any phase after phase 2 of the Customer Account Data Engine 2, paragraph (2) shall be applied by substituting “the date on which the plan for such phase was completed” for “the date of the enactment of this Act”.</content></subparagraph></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3704" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Coordination of IRS CIO and Chief Procurement Officer of the Internal Revenue Service</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3711" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>The Chief Procurement Officer of the Internal Revenue Service shall—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3719" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c/1/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>identify all significant IRS information technology acquisitions and provide written notification to the Internal Revenue Service Chief Information Officer (hereafter referred to in this subsection as the “IRS CIO”) of each such acquisition in advance of such acquisition, and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3723" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c/1/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>regularly consult with the IRS CIO regarding acquisitions of information technology for the Internal Revenue Service, including meeting with the IRS CIO regarding such acquisitions upon request.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3727" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c/2" role="definitions" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Significant irs information technology acquisitions</inline>.—</heading><chapeau>For purposes of this subsection, the term “<term>significant IRS information technology acquisitions</term>” means—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3735" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c/2/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>any acquisition of information technology for the Internal Revenue Service in excess of $1 million; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3739" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c/2/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>such other acquisitions of information technology for the Internal Revenue Service (or categories of such acquisitions) as the IRS CIO, in consultation with the Chief Procurement Officer of the Internal Revenue Service, may identify.</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3743" identifier="/us/bill/116/hr/3151/tII/stB/s2101/c/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><heading><inline class="smallCaps">Scope</inline>.—</heading><content>Terms used in this subsection which are also used in section 7803(f) of the Internal Revenue Code of 1986 (as added by subsection (a)) shall have the same meaning as when used in such section.</content></paragraph></subsection></section>
<section id="d2739e3752" identifier="/us/bill/116/hr/3151/tII/stB/s2102" style="-uslm-lc:I650144"><num value="2102">SEC. 2102. </num><heading>INTERNET PLATFORM FOR FORM 1099 FILINGS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3756" identifier="/us/bill/116/hr/3151/tII/stB/s2102/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><chapeau>Not later than January 1, 2023, the Secretary of the Treasury or the Secretary’s delegate (hereafter referred to in this section as the “Secretary”) shall make available an internet website or other electronic media, with a user interface and functionality similar to the Business Services Online Suite of Services provided by the Social Security Administration, that provides access to resources and guidance provided by the Internal Revenue Service and allows persons to—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3764" identifier="/us/bill/116/hr/3151/tII/stB/s2102/a/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>prepare and file Forms 1099;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3768" identifier="/us/bill/116/hr/3151/tII/stB/s2102/a/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>prepare Forms 1099 for distribution to recipients other than the Internal Revenue Service; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3772" identifier="/us/bill/116/hr/3151/tII/stB/s2102/a/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>maintain a record of completed, filed, and distributed Forms 1099.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3776" identifier="/us/bill/116/hr/3151/tII/stB/s2102/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Electronic Services Treated as Supplemental; Application of Security Standards</inline>.—</heading><chapeau>The Secretary shall ensure that the services described in subsection (a)—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3784" identifier="/us/bill/116/hr/3151/tII/stB/s2102/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>are a supplement to, and not a replacement for, other services provided by the Internal Revenue Service to taxpayers; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3788" identifier="/us/bill/116/hr/3151/tII/stB/s2102/b/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>comply with applicable security standards and guidelines.</content></paragraph></subsection></section>
<section id="d2739e3793" identifier="/us/bill/116/hr/3151/tII/stB/s2103" style="-uslm-lc:I650144"><num value="2103">SEC. 2103. </num><heading>STREAMLINED CRITICAL PAY AUTHORITY FOR INFORMATION TECHNOLOGY POSITIONS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3797" identifier="/us/bill/116/hr/3151/tII/stB/s2103/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Subchapter A of chapter 80 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new section:<quotedContent><section style="-uslm-lc:I650144"><num class="bold " value="7812">“SEC. 7812. </num><heading class="bold ">STREAMLINED CRITICAL PAY AUTHORITY FOR INFORMATION TECHNOLOGY POSITIONS.</heading><chapeau class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650120"> “In the case of any position which is critical to the functionality of the information technology operations of the Internal Revenue Service—</chapeau><paragraph class="indentDown1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">“(1) </num><chapeau><ref href="/us/usc/t5/s9503">section 9503 of title 5, United States Code</ref>, shall be applied—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>by substituting ‘during the period beginning on the date of the enactment of section 7812 of the Internal Revenue Code of 1986, and ending on September 30, 2025’ for ‘Before September 30, 2013 in subsection (a)’,</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>without regard to subparagraph (B) of subsection (a)(1), and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><content>by substituting ‘the date of the enactment of the Taxpayer First Act’ for ‘June 1, 1998’ in subsection (a)(6),</content></subparagraph></paragraph><paragraph class="indentDown1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">“(2) </num><content>section 9504 of such title 5 shall be applied by substituting ‘During the period beginning on the date of the enactment of section 7812 of the Internal Revenue Code of 1986, and ending on September 30, 2025’ for ‘Before September 30, 2013’ each place it appears in subsections (a) and (b), and</content></paragraph><paragraph class="indentDown1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><chapeau>section 9505 of such title shall be applied—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><content>by substituting ‘During the period beginning on the date of the enactment of section 7812 of the Internal Revenue Code of 1986, and ending on September 30, 2025’ for ‘Before September 30, 2013’ in subsection (a), and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><content>by substituting ‘the information technology operations’ for ‘significant functions’ in subsection (a).”</content></subparagraph></paragraph></section>
</quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3857" identifier="/us/bill/116/hr/3151/tII/stB/s2103/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Clerical Amendment</inline>.—</heading><content>The table of sections for subchapter A of chapter 80 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new item:<quotedContent><?GPOvSpace 04?>
<toc>
<referenceItem role="section" style="-uslm-lc:I651142">
<designator>“Sec. 7812. </designator>
<label>Streamlined critical pay authority for information technology positions.”.</label>
</referenceItem></toc>
</quotedContent></content></subsection></section>
</subtitle>
<subtitle id="d2739e3885" identifier="/us/bill/116/hr/3151/tII/stC" style="-uslm-lc:I650178"><num value="C">Subtitle C—</num><heading>Modernization of Consent-Based Income Verification System</heading>
<section id="d2739e3890" identifier="/us/bill/116/hr/3151/tII/stC/s2201" style="-uslm-lc:I650144"><num value="2201">SEC. 2201. </num><heading>DISCLOSURE OF TAXPAYER INFORMATION FOR THIRD-PARTY INCOME VERIFICATION.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3894" identifier="/us/bill/116/hr/3151/tII/stC/s2201/a" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><chapeau>Not later than 1 year after the close of the 2-year period described in subsection (d)(1), the Secretary of the Treasury or the Secretary’s delegate (hereafter referred to in this section as the “Secretary”) shall implement a program to ensure that any qualified disclosure—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3902" identifier="/us/bill/116/hr/3151/tII/stC/s2201/a/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>is fully automated and accomplished through the internet; and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3906" identifier="/us/bill/116/hr/3151/tII/stC/s2201/a/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>is accomplished in as close to real-time as is practicable.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3910" identifier="/us/bill/116/hr/3151/tII/stC/s2201/b" role="definitions" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Qualified Disclosure</inline>.—</heading><content>For purposes of this section, the term “<term>qualified disclosure</term>” means a disclosure under section 6103(c) of the Internal Revenue Code of 1986 of returns or return information by the Secretary to a person seeking to verify the income or creditworthiness of a taxpayer who is a borrower in the process of a loan application.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3918" identifier="/us/bill/116/hr/3151/tII/stC/s2201/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Application of Security Standards</inline>.—</heading><content>The Secretary shall ensure that the program described in subsection (a) complies with applicable security standards and guidelines.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3926" identifier="/us/bill/116/hr/3151/tII/stC/s2201/d" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">User Fee</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3933" identifier="/us/bill/116/hr/3151/tII/stC/s2201/d/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>During the 2-year period beginning on the first day of the sixth calendar month beginning after the date of the enactment of this Act, the Secretary shall assess and collect a fee for qualified disclosures (in addition to any other fee assessed and collected for such disclosures) at such rates as the Secretary determines are sufficient to cover the costs related to implementing the program described in subsection (a), including the costs of any necessary infrastructure or technology.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e3941" identifier="/us/bill/116/hr/3151/tII/stC/s2201/d/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Deposit of collections</inline>.—</heading><content>Amounts received from fees assessed and collected under paragraph (1) shall be deposited in, and credited to, an account solely for the purpose of carrying out the activities described in subsection (a). Such amounts shall be available to carry out such activities without need of further appropriation and without fiscal year limitation.</content></paragraph></subsection></section>
<section id="d2739e3950" identifier="/us/bill/116/hr/3151/tII/stC/s2202" style="-uslm-lc:I650144"><num value="2202">SEC. 2202. </num><heading>LIMIT REDISCLOSURES AND USES OF CONSENT-BASED DISCLOSURES OF TAX RETURN INFORMATION.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3954" identifier="/us/bill/116/hr/3151/tII/stC/s2202/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 6103(c) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following: “<quotedText>Persons designated by the taxpayer under this subsection to receive return information shall not use the information for any purpose other than the express purpose for which consent was granted and shall not disclose return information to any other person without the express permission of, or request by, the taxpayer.</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3969" identifier="/us/bill/116/hr/3151/tII/stC/s2202/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Application of Penalties</inline>.—</heading><content>Section 6103(a)(3) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="insert">inserting</amendingAction> “<quotedText>subsection (c),</quotedText>” after “<quotedText>return information under</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e3984" identifier="/us/bill/116/hr/3151/tII/stC/s2202/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to disclosures made after the date which is 180 days after the date of the enactment of this Act.</content></subsection></section>
</subtitle>
<subtitle id="d2739e3994" identifier="/us/bill/116/hr/3151/tII/stD" style="-uslm-lc:I650178"><num value="D">Subtitle D—</num><heading>Expanded Use of Electronic Systems</heading>
<section id="d2739e3999" identifier="/us/bill/116/hr/3151/tII/stD/s2301" style="-uslm-lc:I650144"><num value="2301">SEC. 2301. </num><heading>ELECTRONIC FILING OF RETURNS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4003" identifier="/us/bill/116/hr/3151/tII/stD/s2301/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 6011(e)(2)(A) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>250</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>the applicable number of</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4021" identifier="/us/bill/116/hr/3151/tII/stD/s2301/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Applicable Number</inline>.—</heading><content>Section 6011(e) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> paragraph (5) and <amendingAction type="insert">inserting</amendingAction> the following new paragraphs:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">“(5) </num><heading><inline class="smallCaps">Applicable number</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><chapeau>For purposes of paragraph (2)(A), the applicable number shall be—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>except as provided in subparagraph (B), in the case of calendar years before 2021, 250,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>in the case of calendar year 2021, 100, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>in the case of calendar years after 2021, 10.</content></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Special rule for partnerships for 2018, 2019, 2020, and 2021</inline>.—</heading><chapeau>In the case of a partnership, for any calendar year before 2022, the applicable number shall be—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>in the case of calendar year 2018, 200,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>in the case of calendar year 2019, 150,</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iii">“(iii) </num><content>in the case of calendar year 2020, 100, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="iv">“(iv) </num><content>in the case of calendar year 2021, 50.</content></clause></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="6">“(6) </num><heading><inline class="smallCaps">Partnerships required to file on magnetic media</inline>.—</heading><content>Notwithstanding paragraph (2)(A), the Secretary shall require partnerships having more than 100 partners to file returns on magnetic media.”</content></paragraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4100" identifier="/us/bill/116/hr/3151/tII/stD/s2301/c" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Returns Filed by a Tax Return Preparer</inline>.—</heading><content>Section 6011(e)(3) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subparagraph:<quotedContent><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="D">“(D) </num><heading><inline class="smallCaps">Exception for certain preparers located in areas without internet access</inline>.—</heading><content>The Secretary may waive the requirement of subparagraph (A) if the Secretary determines, on the basis of an application by the tax return preparer, that the preparer cannot meet such requirement by reason of being located in a geographic area which does not have access to internet service (other than dial-up or satellite service).”</content></subparagraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4125" identifier="/us/bill/116/hr/3151/tII/stD/s2301/d" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">Conforming Amendment</inline>.—</heading><content>Section 6724(c) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>250 information returns (more than 100 information returns in the case of a partnership having more than 100 partners)</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>the applicable number (determined under section 6011(e)(5) with respect to the calendar year to which such returns relate) of information returns</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4143" identifier="/us/bill/116/hr/3151/tII/stD/s2301/e" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="e">(e) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall take effect on the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e4152" identifier="/us/bill/116/hr/3151/tII/stD/s2302" role="instruction" style="-uslm-lc:I650144"><num value="2302">SEC. 2302. </num><heading>UNIFORM STANDARDS FOR THE USE OF ELECTRONIC SIGNATURES FOR DISCLOSURE AUTHORIZATIONS TO, AND OTHER AUTHORIZATIONS OF, PRACTITIONERS.</heading><content class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"> Section 6061(b)(3) <amendingAction type="amend">is amended</amendingAction> to read as follows:<quotedContent><paragraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">“(3) </num><heading><inline class="smallCaps">Published guidance</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>The Secretary shall publish guidance as appropriate to define and implement any waiver of the signature requirements or any method adopted under paragraph (1).</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Electronic signatures for disclosure authorizations to, and other authorizations of, practitioners</inline>.—</heading><content>Not later than 6 months after the date of the enactment of this subparagraph, the Secretary shall publish guidance to establish uniform standards and procedures for the acceptance of taxpayers’ signatures appearing in electronic form with respect to any request for disclosure of a taxpayer’s return or return information under section 6103(c) to a practitioner or any power of attorney granted by a taxpayer to a practitioner.</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" role="definitions" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="C">“(C) </num><heading><inline class="smallCaps">Practitioner</inline>.—</heading><content>For purposes of subparagraph (B), the term ‘<term>practitioner</term>’ means any individual in good standing who is regulated under <ref href="/us/usc/t31/s330">section 330 of title 31, United States Code</ref>.”</content></subparagraph></paragraph></quotedContent>.</content></section>
<section id="d2739e4200" identifier="/us/bill/116/hr/3151/tII/stD/s2303" role="instruction" style="-uslm-lc:I650144"><num value="2303">SEC. 2303. </num><heading>PAYMENT OF TAXES BY DEBIT AND CREDIT CARDS.</heading><content style="-uslm-lc:I650120"> Section 6311(d)(2) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following: “<quotedText>The preceding sentence shall not apply to the extent that the Secretary ensures that any such fee or other consideration is fully recouped by the Secretary in the form of fees paid to the Secretary by persons paying taxes imposed under subtitle A with credit, debit, or charge cards pursuant to such contract. Notwithstanding the preceding sentence, the Secretary shall seek to minimize the amount of any fee or other consideration that the Secretary pays under any such contract.</quotedText>”.</content></section>
<section id="d2739e4213" identifier="/us/bill/116/hr/3151/tII/stD/s2304" style="-uslm-lc:I650144"><num value="2304">SEC. 2304. </num><heading>AUTHENTICATION OF USERS OF ELECTRONIC SERVICES ACCOUNTS.</heading><content style="-uslm-lc:I650120"> Beginning 180 days after the date of the enactment of this Act, the Secretary of the Treasury (or the Secretary’s delegate) shall verify the identity of any individual opening an e-Services account with the Internal Revenue Service before such individual is able to use the e-Services tools.</content></section>
</subtitle>
<subtitle id="d2739e4222" identifier="/us/bill/116/hr/3151/tII/stE" style="-uslm-lc:I650178"><num value="E">Subtitle E—</num><heading>Other Provisions</heading>
<section id="d2739e4227" identifier="/us/bill/116/hr/3151/tII/stE/s2401" role="instruction" style="-uslm-lc:I650144"><num value="2401">SEC. 2401. </num><heading>REPEAL OF PROVISION REGARDING CERTAIN TAX COMPLIANCE PROCEDURES AND REPORTS.</heading><content style="-uslm-lc:I650120"> Section 2004 of the Internal Revenue Service Restructuring and Reform Act of 1998 (<ref href="/us/usc/t26/s6012">26 U.S.C. 6012 note</ref>) is <amendingAction type="repeal">repealed</amendingAction>.</content></section>
<section id="d2739e4240" identifier="/us/bill/116/hr/3151/tII/stE/s2402" style="-uslm-lc:I650144"><num value="2402">SEC. 2402. </num><heading>COMPREHENSIVE TRAINING STRATEGY.</heading><chapeau class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"> Not later than 1 year after the date of the enactment of this Act, the Commissioner of Internal Revenue shall submit to Congress a written report providing a comprehensive training strategy for employees of the Internal Revenue Service, including—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4246" identifier="/us/bill/116/hr/3151/tII/stE/s2402/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>a plan to streamline current training processes, including an assessment of the utility of further consolidating internal training programs, technology, and funding;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4250" identifier="/us/bill/116/hr/3151/tII/stE/s2402/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>a plan to develop annual training regarding taxpayer rights, including the role of the Office of the Taxpayer Advocate, for employees that interface with taxpayers and the direct managers of such employees;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4254" identifier="/us/bill/116/hr/3151/tII/stE/s2402/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>a plan to improve technology-based training;</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4258" identifier="/us/bill/116/hr/3151/tII/stE/s2402/4" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="4">(4) </num><chapeau>proposals to—</chapeau><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4262" identifier="/us/bill/116/hr/3151/tII/stE/s2402/4/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><content>focus employee training on early, fair, and efficient resolution of taxpayer disputes for employees that interface with taxpayers and the direct managers of such employees; and</content></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4266" identifier="/us/bill/116/hr/3151/tII/stE/s2402/4/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><content>ensure consistency of skill development and employee evaluation throughout the Internal Revenue Service; and</content></subparagraph></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4270" identifier="/us/bill/116/hr/3151/tII/stE/s2402/5" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="5">(5) </num><content>a thorough assessment of the funding necessary to implement such strategy.</content></paragraph></section>
</subtitle>
<num value="III">TITLE III—</num><heading>MISCELLANEOUS PROVISIONS</heading>
<subtitle id="d2739e4283" identifier="/us/bill/116/hr/3151/tIII/stA" style="-uslm-lc:I650178"><num value="A">Subtitle A—</num><heading>Reform of Laws Governing Internal Revenue Service Employees</heading>
<section id="d2739e4288" identifier="/us/bill/116/hr/3151/tIII/stA/s3001" style="-uslm-lc:I650144"><num value="3001">SEC. 3001. </num><heading>PROHIBITION ON REHIRING ANY EMPLOYEE OF THE INTERNAL REVENUE SERVICE WHO WAS INVOLUNTARILY SEPARATED FROM SERVICE FOR MISCONDUCT.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4292" identifier="/us/bill/116/hr/3151/tIII/stA/s3001/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 7804 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">“(d) </num><heading><inline class="smallCaps">Prohibition on Rehiring Employees Involuntarily Separated</inline>.—</heading><content>The Commissioner may not hire any individual previously employed by the Commissioner who was removed for misconduct under this subchapter or chapter 43 or <ref href="/us/usc/t5/ch75">chapter 75 of title 5, United States Code</ref>, or whose employment was terminated under section 1203 of the Internal Revenue Service Restructuring and Reform Act of 1998 (<ref href="/us/usc/t26/s7804">26 U.S.C. 7804 note</ref>).”</content></subsection></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4324" identifier="/us/bill/116/hr/3151/tIII/stA/s3001/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendment made by subsection (a) shall apply with respect to the hiring of employees after the date of the enactment of this Act.</content></subsection></section>
<section id="d2739e4333" identifier="/us/bill/116/hr/3151/tIII/stA/s3002" style="-uslm-lc:I650144"><num value="3002">SEC. 3002. </num><heading>NOTIFICATION OF UNAUTHORIZED INSPECTION OR DISCLOSURE OF RETURNS AND RETURN INFORMATION.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4337" identifier="/us/bill/116/hr/3151/tIII/stA/s3002/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Subsection (e) of section 7431 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following new sentences: “<quotedText>The Secretary shall also notify such taxpayer if the Internal Revenue Service or a Federal or State agency (upon notice to the Secretary by such Federal or State agency) proposes an administrative determination as to disciplinary or adverse action against an employee arising from the employee’s unauthorized inspection or disclosure of the taxpayer’s return or return information. The notice described in this subsection shall include the date of the unauthorized inspection or disclosure and the rights of the taxpayer under such administrative determination.</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4352" identifier="/us/bill/116/hr/3151/tIII/stA/s3002/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendment made by this section shall apply to determinations proposed after the date which is 180 days after the date of the enactment of this Act.</content></subsection></section>
</subtitle>
<subtitle id="d2739e4362" identifier="/us/bill/116/hr/3151/tIII/stB" style="-uslm-lc:I650178"><num value="B">Subtitle B—</num><heading>Provisions Relating to Exempt Organizations</heading>
<section id="d2739e4367" identifier="/us/bill/116/hr/3151/tIII/stB/s3101" style="-uslm-lc:I650144"><num value="3101">SEC. 3101. </num><heading>MANDATORY E-FILING BY EXEMPT ORGANIZATIONS.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4371" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 6033 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="redesignate">redesignating</amendingAction> subsection (n) as subsection (o) and by <amendingAction type="insert">inserting</amendingAction> after subsection (m) the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="n">“(n) </num><heading><inline class="smallCaps">Mandatory Electronic Filing</inline>.—</heading><content>Any organization required to file a return under this section shall file such return in electronic form.”</content></subsection></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4399" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Other Reports and Returns</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4406" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/b/1" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">Political organizations</inline>.—</heading><content>Section 527(j)(7) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>if the organization has</quotedText>” and all that follows through “<quotedText>such calendar year</quotedText>”.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4421" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/b/2" role="instruction" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Unrelated business income tax returns</inline>.—</heading><content>Section 6011 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="redesignate">redesignating</amendingAction> subsection (h) as subsection (i) and by <amendingAction type="insert">inserting</amendingAction> after subsection (g) the following new subsection:<quotedContent><subsection class="indentUp0 firstIndent1 fontsize10" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="h">“(h) </num><heading><inline class="smallCaps">Mandatory E-Filing of Unrelated Business Income Tax Return</inline>.—</heading><content>Any organization required to file an annual return under this section which relates to any tax imposed by section 511 shall file such return in electronic form.”</content></subsection></quotedContent>.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4449" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/c" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Inspection of Electronically Filed Annual Returns</inline>.—</heading><content>Section 6104(b) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="add">adding</amendingAction> at the end the following: “<quotedText>Any annual return required to be filed electronically under section 6033(n) shall be made available by the Secretary to the public as soon as practicable in a machine readable format.</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4464" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="d">(d) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4471" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>Except as provided in paragraph (2), the amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4479" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><heading><inline class="smallCaps">Transitional relief</inline>.—</heading><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4486" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/2/A" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">(A) </num><heading><inline class="smallCaps">Small organizations</inline>.—</heading><clause class="indentUp1 firstIndent1 fontsize10" id="d2739e4493" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/2/A/i" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">(i) </num><heading><inline class="smallCaps">In general</inline>.—</heading><content>In the case of any small organizations, or any other organizations for which the Secretary of the Treasury or the Secretary’s delegate (hereafter referred to in this paragraph as the “Secretary”) determines the application of the amendments made by this section would cause undue burden without a delay, the Secretary may delay the application of such amendments, but such delay shall not apply to any taxable year beginning on or after the date that is 2 years after the enactment of this Act.</content></clause><clause class="indentUp1 firstIndent1 fontsize10" id="d2739e4501" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/2/A/ii" role="definitions" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">(ii) </num><heading><inline class="smallCaps">Small organization</inline>.—</heading><chapeau>For purposes of clause (i), the term “<term>small organization</term>” means any organization—</chapeau><subclause class="indentUp1 firstIndent1 fontsize10" id="d2739e4509" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/2/A/ii/I" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="I">(I) </num><content>the gross receipts of which for the taxable year are less than $200,000; and</content></subclause><subclause class="indentUp1 firstIndent1 fontsize10" id="d2739e4513" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/2/A/ii/II" style="-uslm-lc:I650128"><num style="-uslm-lc:emspace2" value="II">(II) </num><content>the aggregate gross assets of which at the end of the taxable year are less than $500,000.</content></subclause></clause></subparagraph><subparagraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4517" identifier="/us/bill/116/hr/3151/tIII/stB/s3101/d/2/B" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">(B) </num><heading><inline class="smallCaps">Organizations filing form 990–t</inline>.—</heading><content>In the case of any organization described in section 511(a)(2) of the Internal Revenue Code of 1986 which is subject to the tax imposed by section 511(a)(1) of such Code on its unrelated business taxable income, or any organization required to file a return under section 6033 of such Code and include information under subsection (e) thereof, the Secretary may delay the application of the amendments made by this section, but such delay shall not apply to any taxable year beginning on or after the date that is 2 years after the enactment of this Act.</content></subparagraph></paragraph></subsection></section>
<section id="d2739e4526" identifier="/us/bill/116/hr/3151/tIII/stB/s3102" style="-uslm-lc:I650144"><num value="3102">SEC. 3102. </num><heading>NOTICE REQUIRED BEFORE REVOCATION OF TAX-EXEMPT STATUS FOR FAILURE TO FILE RETURN.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4530" identifier="/us/bill/116/hr/3151/tIII/stB/s3102/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>Section 6033(j)(1) <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>If an organization</quotedText>” and <amendingAction type="insert">inserting</amendingAction> the following:<quotedContent><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="A">“(A) </num><heading><inline class="smallCaps">Notice</inline>.—</heading><chapeau>If an organization described in subsection (a)(1) or (i) fails to file the annual return or notice required under either subsection for 2 consecutive years, the Secretary shall notify the organization—</chapeau><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="i">“(i) </num><content>that the Internal Revenue Service has no record of such a return or notice from such organization for 2 consecutive years, and</content></clause><clause class="indentUp1 firstIndent1 fontsize10" style="-uslm-lc:I650126"><num style="-uslm-lc:emspace2" value="ii">“(ii) </num><content>about the revocation that will occur under subparagraph (B) if the organization fails to file such a return or notice by the due date for the next such return or notice required to be filed.</content></clause><continuation class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124">The notification under the preceding sentence shall include information about how to comply with the filing requirements under subsections (a)(1) and (i).</continuation></subparagraph><subparagraph class="indentUp2 firstIndent1 fontsize10" style="-uslm-lc:I650124"><num style="-uslm-lc:emspace2" value="B">“(B) </num><heading><inline class="smallCaps">Revocation</inline>.—</heading><content>If an organization”</content></subparagraph></quotedContent>.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4576" identifier="/us/bill/116/hr/3151/tIII/stB/s3102/b" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendment made by this section shall apply to failures to file returns or notices for 2 consecutive years if the return or notice for the second year is required to be filed after December 31, 2019.</content></subsection></section>
</subtitle>
<subtitle id="d2739e4586" identifier="/us/bill/116/hr/3151/tIII/stC" style="-uslm-lc:I650178"><num value="C">Subtitle C—</num><heading>Revenue Provision</heading>
<section id="d2739e4591" identifier="/us/bill/116/hr/3151/tIII/stC/s3201" style="-uslm-lc:I650144"><num value="3201">SEC. 3201. </num><heading>INCREASE IN PENALTY FOR FAILURE TO FILE.</heading><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4595" identifier="/us/bill/116/hr/3151/tIII/stC/s3201/a" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="a">(a) </num><heading><inline class="smallCaps">In General</inline>.—</heading><content>The second sentence of subsection (a) of section 6651 <amendingAction type="amend">is amended</amendingAction> by <amendingAction type="delete">striking</amendingAction> “<quotedText>$205</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>$330</quotedText>”.</content></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4613" identifier="/us/bill/116/hr/3151/tIII/stC/s3201/b" role="instruction" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="b">(b) </num><heading><inline class="smallCaps">Inflation Adjustment</inline>.—</heading><chapeau>Section 6651(j)(1) <amendingAction type="amend">is amended</amendingAction>—</chapeau><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4625" identifier="/us/bill/116/hr/3151/tIII/stC/s3201/b/1" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="1">(1) </num><content>by <amendingAction type="delete">striking</amendingAction> “<quotedText>2014</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>2020</quotedText>”,</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4636" identifier="/us/bill/116/hr/3151/tIII/stC/s3201/b/2" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="2">(2) </num><content>by <amendingAction type="delete">striking</amendingAction> “<quotedText>$205</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>$330</quotedText>”, and</content></paragraph><paragraph class="indentUp1 firstIndent1 fontsize10" id="d2739e4647" identifier="/us/bill/116/hr/3151/tIII/stC/s3201/b/3" style="-uslm-lc:I650122"><num style="-uslm-lc:emspace2" value="3">(3) </num><content>by <amendingAction type="delete">striking</amendingAction> “<quotedText>2013</quotedText>” and <amendingAction type="insert">inserting</amendingAction> “<quotedText>2019</quotedText>”.</content></paragraph></subsection><subsection class="indentUp0 firstIndent1 fontsize10" id="d2739e4658" identifier="/us/bill/116/hr/3151/tIII/stC/s3201/c" style="-uslm-lc:I650120"><num style="-uslm-lc:emspace2" value="c">(c) </num><heading><inline class="smallCaps">Effective Date</inline>.—</heading><content>The amendments made by this section shall apply to returns required to be filed after December 31, 2019.</content></subsection></section>
</subtitle>
<num value="IV">TITLE IV—</num><heading>BUDGETARY EFFECTS</heading>
<section id="d2739e4674" identifier="/us/bill/116/hr/3151/tIV/s4001" style="-uslm-lc:I650144"><num value="4001">SEC. 4001. </num><heading>DETERMINATION OF BUDGETARY EFFECTS.</heading><content style="-uslm-lc:I650120"> The budgetary effects of this Act, for the purpose of complying with the Statutory Pay-As-You-Go Act of 2010, shall be determined by reference to the latest statement titled “Budgetary Effects of PAYGO Legislation” for this Act, submitted for printing in the Congressional Record by the Chairman of the House Budget Committee, provided that such statement has been submitted prior to the vote on passage.</content></section>
Speaker of the House of Representatives.Vice President of the United States and President of the Senate.