[Congressional Record Volume 161, Number 172 (Monday, November 30, 2015)]
[Extensions of Remarks]
[Pages E1675-E1676]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




            INTRODUCTION OF THE TAXPAYER RIGHTS ACT OF 2015

                                 ______
                                 

                          HON. XAVIER BECERRA

                             of california

                    in the house of representatives

                       Monday, November 30, 2015

  Mr. BECERRA. Mr. Speaker, I have been introducing taxpayer rights 
legislation since 2004, and today I am proud to introduce the Taxpayer 
Rights Act of 2015, a bill that contains important provisions to 
improve services for and protect the rights of American taxpayers, 
particularly those with modest incomes. Senator Cardin, who previously 
helped lead efforts in the House to pass the original Taxpayer Bill of 
Rights, is introducing companion legislation in the Senate. Many of 
these provisions are based on recommendations from the National 
Taxpayer Advocate, Nina Olson, who has long been a champion of 
improving taxpayer services and tax administration at the Internal 
Revenue Service (IRS).
  As former Nixon Treasury Secretary William Simon said, ``The nation 
should have a tax system that looks like someone designed it on 
purpose.'' As we look for ways to improve the tax code to make it 
fairer and more transparent for all taxpayers, it is critical that 
ideas to help improve IRS service and accessibility are included in 
this conversation. Every year, millions of taxpayers file their returns 
with the IRS and inevitably issues of tax administration come to the 
forefront. These issues range from taxpayers not knowing their legal 
rights when interacting with the IRS, to taxpayers enlisting 
unscrupulous or poorly-trained preparers to help them complete one of 
their most important financial transactions of the year. This 
legislation aims to help prevent taxpayers from finding themselves in 
these avoidable situations, and to build on and improve taxpayer 
services provided through the IRS.
  The centerpiece of this Act is the requirement that Treasury publish 
a Taxpayer Bill of Rights. The Taxpayer Bill of Rights is a simple and 
straightforward statement that enumerates all taxpayers' rights and 
obligations. As the National Taxpayer Advocate explained in her 2011 
Report to Congress: ``In a time when the IRS will feel pressure to 
bring in additional tax revenue, it is crucial to provide taxpayers 
with strong protection for their rights.'' Currently, these rights and 
obligations are scattered throughout the tax code and Internal Revenue 
Manual, making them neither accessible nor written in plain language 
that most taxpayers can understand.

[[Page E1676]]

  This Act also helps improve the quality and accessibility of tax 
preparation services and advice available to taxpayers in several 
different ways. First, it clarifies that the IRS has the authority to 
regulate tax return preparers. Ensuring tax preparers are trained, 
competent, and current on tax law developments will go a long way 
towards helping taxpayers during one of their most important financial 
transactions of the year. The Act also helps ensure moderate income 
taxpayers access qualified tax assistance by supporting a grant program 
for free income tax assistance services, like those offered by the 
Koreatown Youth and Community Center in my district in Los Angeles. It 
also allows IRS referrals to Low Income Taxpayer Clinics, which provide 
representation to modest income taxpayers in their disputes with the 
IRS. In addition, the Act puts new protections in place to ensure 
taxpayer information remains confidential, and increases penalties on 
preparers of fraudulent tax returns.
  Finally, this bill includes several provisions that would improve IRS 
taxpayer services. One important provision provides greater protections 
for taxpayers when they are faced with a Notice of a Federal Tax Lien 
filing (NFTL). Filing of an NFTL can result in significant, longterm 
hardship to a taxpayer, and may adversely affect the taxpayer's credit, 
thus impairing his or her ability to conduct financial transactions or 
secure employment. The Taxpayer Bill of Rights Act requires the IRS to 
make individualized determinations before the filing of an NFTL, and 
also requires consideration of hardship factors and a taxpayer's 
history of compliance before these determinations are made.
  Many of the issues identified in this bill have caused confusion and 
undue hardship for taxpayers across the country. I encourage all of my 
colleagues to support these common sense provisions to promote taxpayer 
rights and services for all Americans.

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