[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5419 Referred in Senate (RFS)]

113th CONGRESS
  2d Session
                                H. R. 5419


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                   IN THE SENATE OF THE UNITED STATES

           September 17 (legislative day, September 16), 2014

     Received; read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 AN ACT


 
To amend the Internal Revenue Code of 1986 to provide for a right to an 
administrative appeal relating to adverse determinations of tax-exempt 
                    status of certain organizations.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. ADMINISTRATIVE APPEAL RELATING TO ADVERSE DETERMINATIONS OF 
              TAX-EXEMPT STATUS OF CERTAIN ORGANIZATIONS.

    (a) In General.--Section 7123 of the Internal Revenue Code of 1986 
is amended by adding at the end the following:
    ``(c) Administrative Appeal Relating to Adverse Determination of 
Tax-Exempt Status of Certain Organizations.--
            ``(1) In general.--The Secretary shall prescribe procedures 
        under which an organization described in section 501(c) may 
        request an administrative appeal (including a conference 
        relating to such appeal if requested by the organization) to 
        the Internal Revenue Service Office of Appeals of an adverse 
        determination described in paragraph (2).
            ``(2) Adverse determinations.--For purposes of paragraph 
        (1), an adverse determination is described in this paragraph if 
        such determination is adverse to an organization with respect 
        to--
                    ``(A) the initial qualification or continuing 
                qualification of the organization as exempt from tax 
                under section 501(a) or as an organization described in 
                section 170(c)(2),
                    ``(B) the initial classification or continuing 
                classification of the organization as a private 
                foundation under 509(a), or
                    ``(C) the initial classification or continuing 
                classification of the organization as a private 
                operating foundation under section 4942(j)(3).''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
apply to determinations made after the date of the enactment of this 
Act.

            Passed the House of Representatives September 16, 2014.

            Attest:

                                                 KAREN L. HAAS,

                                                                 Clerk.