[Congressional Record (Bound Edition), Volume 156 (2010), Part 4]
[House]
[Pages 5493-5498]
[From the U.S. Government Publishing Office, www.gpo.gov]




                    TAXPAYER ASSISTANCE ACT OF 2010

  Mr. LEWIS of Georgia. Mr. Speaker, I move to suspend the rules and 
pass the bill (H.R. 4994) to amend the Internal Revenue Code of 1986 to 
reduce taxpayer burdens and enhance taxpayer

[[Page 5494]]

protections, and for other purposes, as amended.
  The Clerk read the title of the bill.
  The text of the bill is as follows:

                               H.R. 4994

       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 
     Assistance Act of 2010''.
       (b) Amendment of Internal Revenue Code of 1986.--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 of this Act 
     is as follows:

Sec. 1. Short title, etc.

               TITLE I--CELL PHONES AND ELECTRONIC FILING

Sec. 101. Removal of cellular telephones and similar telecommunications 
              equipment from listed property.
Sec. 102. Electronic filing exemption for religious reasons.
Sec. 103. Accelerate interest on refunds for returns filed 
              electronically.

                          TITLE II--COLLECTION

Sec. 201. Study on the effectiveness of collection alternatives.
Sec. 202. Repeal of partial payment requirement on submissions of 
              offers-in-compromise.

       TITLE III--TAXPAYER ASSISTANCE AND PROTECTION IMPROVEMENTS

Sec. 301. Referrals to Low-Income Taxpayer Clinics permitted.
Sec. 302. Low-income taxpayer clinics.
Sec. 303. EITC outreach.
Sec. 304. Taxpayer notification of suspected identity theft.
Sec. 305. Clarification of IRS unclaimed refund authority.
Sec. 306. Study on delivery of tax refunds.
Sec. 307. Study on timely processing and use of information returns.
Sec. 308. Study on easing the burden of in-person tax payments.

                      TITLE IV--REVENUE PROVISIONS

Sec. 401. Expansion of bad check penalty to electronic payments.
Sec. 402. Increase in information return penalties.
Sec. 403. Budget compliance.

               TITLE I--CELL PHONES AND ELECTRONIC FILING

     SEC. 101. REMOVAL OF CELLULAR TELEPHONES AND SIMILAR 
                   TELECOMMUNICATIONS EQUIPMENT FROM LISTED 
                   PROPERTY.

       (a) In General.--Subparagraph (A) of section 280F(d)(4) 
     (defining listed property) is amended by adding ``and'' at 
     the end of clause (iv), by striking clause (v), and by 
     redesignating clause (vi) as clause (v).
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to taxable years beginning after December 31, 
     2009.

     SEC. 102. ELECTRONIC FILING EXEMPTION FOR RELIGIOUS REASONS.

       Paragraph (3) of section 6011(e) (relating to special rule 
     for tax return preparers) is amended by adding at the end the 
     following new subparagraph:
       ``(D) Exemption for religious reasons.--The Secretary may 
     exempt from requirements under subparagraph (A) a tax return 
     preparer who--
       ``(i) is a member of a recognized religious sect or 
     division thereof, and
       ``(ii) is an adherent of established teachings or tenets 
     that do not permit the use of magnetic media.''.

     SEC. 103. ACCELERATE INTEREST ON REFUNDS FOR RETURNS FILED 
                   ELECTRONICALLY.

       (a) In General.--Subsection (e) of section 6611 (relating 
     to disallowance of interest on certain overpayments) is 
     amended by adding at the end the following new paragraph:
       ``(4) Special rule.--In the case of any individual income 
     tax return relating to income tax filed by electronic means, 
     paragraph (1) shall be applied by substituting `30 days' for 
     `45 days' each place it appears.''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall apply to taxable years beginning after December 31, 
     2011.

                          TITLE II--COLLECTION

     SEC. 201. STUDY ON THE EFFECTIVENESS OF COLLECTION 
                   ALTERNATIVES.

       (a) In General.--The Secretary of the Treasury shall 
     conduct a study to assess the effectiveness of collection 
     alternatives, especially offers-in-compromise, on long-term 
     tax compliance. Such a study shall analyze a group of 
     taxpayers who applied for offers-in-compromise 5 or more 
     years ago and compare the amount of revenue collected from 
     the taxpayers whose offers were accepted with the amount of 
     revenue collected from the taxpayers whose offers were 
     rejected, and compare, among the taxpayers whose offers were 
     rejected, the amount they offered with the amounts collected.
       (b) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary of the Treasury shall 
     submit a report to Congress containing the results of the 
     study conducted under subsection (a).

     SEC. 202. REPEAL OF PARTIAL PAYMENT REQUIREMENT ON 
                   SUBMISSIONS OF OFFERS-IN-COMPROMISE.

       (a) In General.--Section 7122 is amended by striking 
     subsection (c) and by redesignating subsections (d), (e), 
     (f), and (g) as subsection (c), (d), (e), and (f), 
     respectively.
       (b) Conforming Amendments.--
       (1) Paragraph (3) of section 7122(d) is amended--
       (A) by inserting ``and'' at the end of the subparagraph 
     (A),
       (B) by striking ``, and'' at the end of subparagraph (B) 
     and inserting a period, and
       (C) by striking subparagraph (C).
       (2) Subsection (f) of section 6159 is amended by striking 
     ``section 7122(e)'' and inserting ``section 7122(d)''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to offers submitted after the date of the 
     enactment of this Act.

       TITLE III--TAXPAYER ASSISTANCE AND PROTECTION IMPROVEMENTS

     SEC. 301. REFERRALS TO LOW-INCOME TAXPAYER CLINICS PERMITTED.

       (a) In General.--Subsection (c) of section 7526 is amended 
     by adding at the end the following new paragraph:
       ``(6) Treasury employees permitted to refer taxpayers to 
     qualified low-income taxpayer clinics.--Notwithstanding any 
     other provision of law, officers and employees of the 
     Department of the Treasury may refer taxpayers for advice and 
     assistance to qualified low-income taxpayer clinics receiving 
     funding under this section.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to referrals made after the date of the enactment 
     of this Act.

     SEC. 302. LOW-INCOME TAXPAYER CLINICS.

       (a) Increase in Authorized Grants.--Paragraph (1) of 
     section 7526(c) (relating to aggregate limitation) is amended 
     by striking ``$6,000,000'' and inserting ``$20,000,000''.
       (b) Clerical Amendment.--Section 7526(c)(5) is amended by 
     inserting ``qualified'' before ``low-income''.
       (c) Effective Date.--The amendments made by this section 
     shall apply with respect to grants made after the date of the 
     enactment of this Act.

     SEC. 303. EITC OUTREACH.

       (a) In General.--Section 32 (relating to earned income) is 
     amended by adding at the end the following new subsection:
       ``(n) Notification of Potential Eligibility for Credit and 
     Refund.--
       ``(1) In general.--To the extent possible and on an annual 
     basis, the Secretary shall provide to each taxpayer who--
       ``(A) for any preceding taxable year for which credit or 
     refund is not precluded by section 6511, and
       ``(B) did not claim the credit under subsection (a) but may 
     be allowed such credit for any such taxable year based on 
     return or return information (as defined in section 6103(b)) 
     available to the Secretary,

     notice that such taxpayer may be eligible to claim such 
     credit and a refund for such taxable year.
       ``(2) Notice.--Notice provided under paragraph (1) shall be 
     in writing and sent to the last known address of the 
     taxpayer.''.
       (b) Effective Date.--The amendment made by this section 
     shall take effect on the date of the enactment of this Act.

     SEC. 304. TAXPAYER NOTIFICATION OF SUSPECTED IDENTITY THEFT.

       (a) In General.--Chapter 77 (relating to miscellaneous 
     provisions), as amended by this Act, is amended by adding at 
     the end the following new section:

     ``SEC. 7529. NOTIFICATION OF SUSPECTED IDENTITY THEFT.

       ``If, in the course of an investigation under the internal 
     revenue laws, the Secretary determines that there was or may 
     have been an unauthorized use of the identity of the taxpayer 
     or a dependent of the taxpayer, the Secretary shall, to the 
     extent permitted by law--
       ``(1) as soon as practicable and without jeopardizing such 
     investigation, notify the taxpayer of such determination, and
       ``(2) if any person is criminally charged by indictment or 
     information with respect to such unauthorized use, notify 
     such taxpayer as soon as practicable of such charge.''.
       (b) Clerical Amendment.--The table of sections for chapter 
     77 is amended by adding at the end the following new item:

``Sec. 7529. Notification of suspected identity theft.''.

       (c) Effective Date.--The amendments made by this section 
     shall apply to determinations made after the date of the 
     enactment of this Act.

     SEC. 305. CLARIFICATION OF IRS UNCLAIMED REFUND AUTHORITY.

       Paragraph (1) of section 6103(m) (relating to tax refunds) 
     is amended by inserting ``, and through any other means of 
     mass communication,'' after ``media''.

     SEC. 306. STUDY ON DELIVERY OF TAX REFUNDS.

       (a) In General.--The National Taxpayer Advocate shall 
     conduct a study on the feasibility of delivering tax refunds 
     on debit cards, prepaid cards, and other electronic means to 
     assist individuals that do not have access to financial 
     accounts or institutions.

[[Page 5495]]

       (b) Report.--Not later than 1 year after the date of 
     enactment of this Act, the National Taxpayer Advocate shall 
     submit a report to Congress containing the results of the 
     study conducted under subsection (a).

     SEC. 307. STUDY ON TIMELY PROCESSING AND USE OF INFORMATION 
                   RETURNS.

       (a) In General.--The Secretary of the Treasury shall 
     conduct a study on the administrative and legislative changes 
     that would be needed to receive and process information 
     returns before processing income tax returns.
       (b) Report.--Not later than 1 year after the date of the 
     enactment of this Act, the Secretary shall submit a report to 
     the Committee on Ways and Means of the House of 
     Representatives and the Committee on Finance of the Senate 
     containing the results of the study conducted under 
     subsection (a), together with such recommendations as the 
     Secretary considers necessary or appropriate for 
     implementation of these changes.

     SEC. 308. STUDY ON EASING THE BURDEN OF IN-PERSON TAX 
                   PAYMENTS.

       (a) In General.--The Secretary of the Treasury shall 
     conduct a study on how to reduce the number of taxpayers 
     making payments at IRS Taxpayer Assistance Centers. The 
     report shall include an analysis of--
       (1) whether the Federal Tax Deposit Coupon (Form 8109) 
     could be expanded so that it can be used with all Federal tax 
     deposits and payments, and
       (2) what current or new return filing, payment, and proof 
     of payment options could be implemented to reduce the burden 
     of in-person payments.
       (b) Report.--Not later than 1 year after the date of the 
     enactment of this Act, the Secretary shall submit a report to 
     the Committee on Ways and Means of the House of 
     Representatives and the Committee on Finance of the Senate 
     containing the results of the study conducted under 
     subsection (a), together with such recommendations as the 
     Secretary considers necessary or appropriate.

                      TITLE IV--REVENUE PROVISIONS

     SEC. 401. EXPANSION OF BAD CHECK PENALTY TO ELECTRONIC 
                   PAYMENTS.

       (a) In General.--Section 6657 (relating to bad checks) is 
     amended by adding at the end the following: ``Except as 
     otherwise provided by the Secretary, any authorization of a 
     payment by commercially acceptable means (within the meaning 
     of section 6311) shall be treated for purposes of this 
     section in the same manner as a check.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to authorizations of payments made after December 
     31, 2010.

     SEC. 402. INCREASE IN INFORMATION RETURN PENALTIES.

       (a) Failure To File Correct Information Returns.--
       (1) In general.--Subsections (a)(1), (b)(1)(A), and 
     (b)(2)(A) of section 6721 are each amended by striking 
     ``$50'' and inserting ``$100''.
       (2) Aggregate annual limitation.--Subsections (a)(1), 
     (d)(1)(A), and (e)(3)(A) of section 6721 are each amended by 
     striking ``$250,000'' and inserting ``$1,500,000''.
       (b) Reduction Where Correction Within 30 Days.--
       (1) In general.--Subparagraph (A) of section 6721(b)(1) is 
     amended by striking ``$15'' and inserting ``$30''.
       (2) Aggregate annual limitation.--Subsections (b)(1)(B) and 
     (d)(1)(B) of section 6721 are each amended by striking 
     ``$75,000'' and inserting ``$250,000''.
       (c) Reduction Where Correction on or Before August 1.--
       (1) In general.--Subparagraph (A) of section 6721(b)(2) is 
     amended by striking ``$30'' and inserting ``$60''.
       (2) Aggregate annual limitation.--Subsections (b)(2)(B) and 
     (d)(1)(C) of section 6721 are each amended by striking 
     ``$150,000'' and inserting ``$500,000''.
       (d) Aggregate Annual Limitations for Persons With Gross 
     Receipts of Not More Than $5,000,000.--Paragraph (1) of 
     section 6721(d) is amended--
       (1) by striking ``$100,000'' in subparagraph (A) and 
     inserting ``$500,000'',
       (2) by striking ``$25,000'' in subparagraph (B) and 
     inserting ``$75,000'', and
       (3) by striking ``$50,000'' in subparagraph (C) and 
     inserting ``$200,000''.
       (e) Penalty in Case of Intentional Disregard.--Paragraph 
     (2) of section 6721(e) is amended by striking ``$100'' and 
     inserting ``$250''.
       (f) Adjustment for Inflation.--Section 6721 is amended by 
     adding at the end the following new subsection:
       ``(f) Adjustment for Inflation.--
       ``(1) In general.--For each fifth calendar year beginning 
     after 2012, each of the dollar amounts under subsections (a), 
     (b), (d) (other than paragraph (2)(A) thereof), and (e) shall 
     be increased by such dollar amount multiplied by the cost-of-
     living adjustment determined under section 1(f)(3) determined 
     by substituting `calendar year 2011' for `calendar year 1992' 
     in subparagraph (B) thereof.
       ``(2) Rounding.--If any amount adjusted under paragraph 
     (1)--
       ``(A) is not less than $75,000 and is not a multiple of 
     $500, such amount shall be rounded to the next lowest 
     multiple of $500, and
       ``(B) is not described in subparagraph (A) and is not a 
     multiple of $10, such amount shall be rounded to the next 
     lowest multiple of $10.''.
       (g) Effective Date.--The amendments made by this section 
     shall apply with respect to information returns required to 
     be filed on or after January 1, 2011.

     SEC. 403. BUDGET COMPLIANCE.

       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 Committee on the Budget of the House of 
     Representatives, provided that such statement has been 
     submitted prior to the vote on passage.

  The SPEAKER pro tempore. Pursuant to the rule, the gentleman from 
Georgia (Mr. Lewis) and the gentleman from Louisiana (Mr. Boustany) 
each will control 20 minutes.
  The Chair recognizes the gentleman from Georgia.


                             General Leave

  Mr. LEWIS of Georgia. Mr. Speaker, I ask unanimous consent that all 
Members may have 5 legislative days to revise and extend their remarks 
on the bill, H.R. 4994.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Georgia?
  There was no objection.
  Mr. LEWIS of Georgia. Mr. Speaker, I yield myself as much time as I 
may consume.
  Mr. Speaker, tomorrow is April 15, the day Americans will file their 
income tax returns. The IRS will receive nearly 150 million tax returns 
this year and issue over 100 million refunds. We know that taxpayers do 
not enjoy preparing tax returns. The tax laws can be complicated and 
difficult. We do, however, thank them for complying with the laws; and 
today, with this bill, we will try to ease some of the burden.
  On this day, the House is considering the Taxpayer Assistance Act of 
2010. I am pleased that this bill contains proposals supported by the 
administration, the National Taxpayer Advocate, and Members of the 
House from both sides of the aisle.
  This bill has over a dozen provisions that will help taxpayers. It 
will help taxpayers who are struggling in this economy by making it 
easy to enter into payment options with the IRS. It will also help low-
income taxpayers by improving the IRS services that are available to 
them, and it will help small businesses and nonprofit organizations by 
relaxing the record-keeping requirements for cell phones that they 
provide to their employees.
  This bill addresses issues that have been raised in hearings of the 
Ways and Means Subcommittee on Oversight, which I chair, and in 
legislation introduced by other Members of the House.
  Many of the provisions in this bill enjoy broad bipartisan support. 
Today, in recognition of taxpayers, the Congress will look beyond what 
divides us and respond to the needs of our taxpayers. I urge my 
colleagues on both sides of the aisle to join me in passing this good 
and necessary piece of legislation.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BOUSTANY. Mr. Speaker, I yield myself such time as I might 
consume.
  Mr. Speaker, I rise in support of H.R. 4994. This legislation 
contains provisions that will make tax season a little easier for many 
American families; and, therefore, it's worthy of my support.
  There are some good, bipartisan ideas in this bill. For example, it 
makes sense to shield employees from burdensome paperwork requirements 
when they use their employer-provided cell phones to call their spouses 
to see if they need to pick up milk on the way home. Our colleague from 
Texas, Sam Johnson, introduced that legislation and at last count it 
has over 200 cosponsors from both parties.
  This bill also includes bipartisan legislation that Chairman Lewis 
and I introduced to make it easier for taxpayers to enter into offers 
and compromise with the IRS.

                              {time}  1300

  I am glad that our legislation was included in the bill, and I 
appreciate Chairman Lewis reaching out to me in

[[Page 5496]]

a bipartisan manner to find ways to make it easier for taxpayers and 
the IRS to resolve their disputes amicably.
  This bill instructs the IRS to notify taxpayers when it discovers 
evidence that those taxpayers might be victims of identity theft. For 
example, when criminals attempt to claim tax refunds in the name of a 
law-abiding taxpayer, amazingly the IRS does not currently notify 
taxpayers when it discovers suspicious activity conducted in their 
names. And this bill includes a study on whether the IRS can provide 
tax refunds on debit cards. That sounds reasonable to me as it could 
result in more efficient delivery of tax refunds to taxpayers who need 
their money right away to pay their bills.
  For these reasons and more, I am happy to support this legislation 
today. But, Mr. Speaker, my support for this legislation does not 
reduce my disappointment in the antitaxpayer legislation that this 
majority has enacted into law over the last 15 months, nor does it 
change my belief that we could do much more for hardworking taxpayers.
  If we really wanted to do some good for taxpayers today, we might 
eliminate all the powers given to the IRS under the new health care 
law, like putting the IRS in charge of enforcing a new requirement that 
every American family purchase government-approved health insurance; 
taxing families that don't have government-approved health insurance, 
at least $2,000 for a family of four; and if the family doesn't pay a 
tax, allowing the IRS to impose civil penalties and interest, and even 
confiscate that family's tax refund.
  Mr. Speaker, if we really wanted to do some good for taxpayers today, 
we could make permanent the important tax relief enacted in 2001 and 
2003, which provides relief to every American that pays income taxes 
and which are set to expire at the end of this year. And we could find 
a permanent solution to the growing reach of the alternative minimum 
tax, which threatens to engulf millions of middle class families if 
Congress fails to act. But this bill does not provide such relief for 
American taxpayers, and so although I think the bill takes some very 
positive steps, it also represents a missed opportunity.
  I intend to support this bill, Mr. Speaker, but I believe we could 
have and should have done so much more for hardworking Americans who 
send us here to conduct the Nation's business and who entrust us with 
such a large portion of the fruits of their labor.
  Mr. Speaker, I reserve the balance of my time.
  Mr. LEWIS of Georgia. Mr. Speaker, I reserve the balance of my time.
  Mr. BOUSTANY. Mr. Speaker, at this time, I yield 3 minutes to the 
gentleman from Texas (Mr. Sam Johnson), a distinguished member of the 
Committee on Ways and Means.
  Mr. SAM JOHNSON of Texas. I thank the gentleman for yielding.
  I would like to thank the Ways and Means chairman for making my 
commonsense cell phone fix the cornerstone of the Taxpayer Assistance 
Act of 2010. Members may recognize this provision as a bipartisan bill, 
H.R. 690, the Mobile Cell Phone Act, which I have introduced with Mr. 
Pomeroy.
  As we all know, in today's 24/7 economy, cell phones and BlackBerrys 
have become the modern version of landline office phones. And yet, 
unlike landline phones, workers and their employees are supposed to 
keep detailed call logs or else they will face the wrath of the IRS. 
This means a business can lose its deduction while a worker can face 
taxes for making personal calls. This is just wrong. We don't want to 
nickel and dime workers for making the occasional personal call from a 
desk, and we shouldn't for cell phones either.
  Times have changed since Congress passed this rule in 1989 when 
people carried phones in a suitcase. I used to carry one myself when I 
was in the Air Force, and I could hardly carry it because it was so 
heavy. They were used by the likes of high-flying corporate executives 
and cost a small fortune.
  Even the IRS gets it that times have changed. In fact, last June, IRS 
Commissioner Doug Shulman said in his statement, ``The passage of time, 
advances in technology, and the nature of communication in the modern 
workplace have rendered this law obsolete.'' There you have it; even 
the IRS Commissioner believes that this law needs to be changed.
  This provision will especially help our Nation's small businesses. 
According to an NFIB poll, nearly four out of five small businesses use 
a cell phone for work. Now more than ever we need to stop penalizing 
our job-creating entrepreneurs with this ridiculous tax rule. Startup 
small businesses and their employees have better things to do with 
their time than track each and every call they make, and they shouldn't 
have to spend time worrying that the IRS will hit them with taxes for 
personal calls. Even the administration agrees, as they included this 
proposal in their budget.
  So how about let's do away with this outdated, obsolete tax rule once 
and for all.
  Mr. LEWIS of Georgia. Mr. Speaker, I continue to reserve.
  Mr. BOUSTANY. Mr. Speaker, I now yield 2 minutes to the gentleman 
from Illinois (Mr. Roskam), a distinguished member of the Ways and 
Means Committee.
  Mr. ROSKAM. I thank the gentleman for yielding.
  Mr. Speaker, this is a fine bill, and on face value there are some 
good elements to the bill. Let me give you a kind of behind-the-curtain 
look, though, at what could have been.
  There was an amendment that was offered in the Ways and Means 
Committee that I thought was thoughtful. What it was trying to do was 
ultimately create a sense of fairness for families that find themselves 
being bumped up into tax brackets just sort of through inflation, 
essentially. I offered an amendment that would have had the Office of 
Management and Budget determine the spending growth rate by comparing 
the previous 2 years' nonsecurity discretionary spending without regard 
to whether spending was offset. In a nutshell, it would have insulated 
families and taxpayers from being boosted up into what is known as 
``bracket creep.''
  Now, there are some folks that say, well, all this would do is 
accelerate deficits and create more of a problem, but if the Federal 
Government simply lived within its means and followed what President 
Obama is proposing as it relates to the capping and freezing of 
nondiscretionary spending, then we wouldn't have this type of problem.
  And so, like all speakers I think today were speaking in favor of 
this bill, but my sense is that we can do better. So my hope, my 
expectation, and my heartfelt desire is to have a sense of protection, 
Mr. Speaker, for taxpayers. I think this bill is a little bit of a 
swing and a miss. I support the underlying bill, but we can clearly do 
better.
  Mr. LEWIS of Georgia. Mr. Speaker, I continue to reserve.
  Mr. BOUSTANY. Mr. Speaker, as I stated earlier, this legislation 
contains provisions that will make April 15 easier for American 
taxpayers, and so I intend to vote for the bill.
  Simplifying the treatment of cell phones used by employees, 
eliminating the 20 percent down payment requirement for offers in 
compromise, notifying taxpayers of suspected identity theft, and 
studying whether there are more efficient ways to get tax refunds into 
people's hands all makes sense and will make a positive difference in 
people's lives.
  But it's also important to recognize what's not this in this bill: 
Repeal of health care mandates and taxes, protecting taxpayers from 
automatic tax increases scheduled to go into effect next year, and 
finding a permanent solution to the ticking time bomb known as the AMT. 
Hopefully, the majority will listen to the American people and move 
forward on those priorities so that taxpayers will have an easier time 
on future tax days.
  Mr. Speaker, I urge my colleagues to vote for this bill, and I yield 
back the balance of my time.
  Mr. LEWIS of Georgia. Mr. Speaker, the gentleman from North Dakota, a 
very valuable member of the Ways and Means Committee, just came in, and 
I yield to him for 1\1/2\ minutes.

[[Page 5497]]


  Mr. POMEROY. I thank the chair for yielding. I have just come from 
the ongoing committee deliberations taking place now, and I apologize 
for not being here earlier.
  I am here to talk about the cell phone provision of this bill. I am 
pleased to work with my friend, Sam Johnson, on the other side of the 
aisle in addressing what really is an anachronism in the Tax Code. 
Maybe at the time this technology was just coming into being this made 
sense, but presently, to have exhaustive record keeping of every 
business-provided cell phone out there--especially given basically the 
unlimited minutes usage plans so common in the marketplace--makes no 
sense whatsoever.
  You know, the longest journey begins with a single step. We've got a 
long journey ahead of us in terms of simplifying the Tax Code in ways 
that make it much more sensible and clear, and I would like to think we 
can do a lot of this on a bipartisan basis. So let's take this step 
today on cell phones. Working together across the aisle, let's make 
this ridiculous requirement go away. Let's end the confusion at the IRS 
in terms of what they're supposed to do, trying to enforce a provision 
that is virtually unenforceable and ridiculous. Let's pass this bill, 
clarify the law, and use this as an example that even in this day and 
in this place we can work together to make sense of the Tax Code, and 
let's increase our ambitions from here.
  Mr. LEWIS of Georgia. Mr. Speaker, in closing, I want to thank my 
good friend and colleague, Dr. Boustany, the ranking member of the 
subcommittee, and all the members of the committee and all staff on 
both sides for their help in bringing this bill before the floor.
  I fully support H.R. 4994. I urge my colleagues on both sides of the 
aisle to vote ``yes'' for this bill.
  Mr. CONYERS. Mr. Speaker, I rise in strong support of H.R. 4994, the 
``Tax Assistance Act of 2010.'' With Tax Day around the corner, this 
Congress is continuing to build on its strong tax cutting record by 
instituting a series of commonsense tax cuts and credits. Among other 
things, this bill will require the IRS to pay interest when it sends 
taxpayer refunds late and end the outdated practice of requiring 
businesses to keep cumbersome records related to their cell phone use. 
It will also make Tax Day less stressful in 2011, by allowing the IRS 
to provide additional help to low income filers.
  In addition to the commonsense, pro-business tax cuts found in this 
bill, this Tax Day, Americans across the country will also be able to 
enjoy the $800 billion in tax cuts aimed at working families enacted by 
this Congress. These include the Recovery Act, the largest health care 
tax cut in history, and tax credits and accelerated write offs for 
small businesses. Even Bruce Bartlett, President Reagan's domestic 
policy advisor, noted that ``federal taxes are very considerably lower 
by every measure since Obama became president.''
  As Americans file their 2009 income taxes, they may qualify for a 
series of other generous tax cuts--for example, you could save money 
for attending college, making energy-saving home improvements, 
purchasing a home for the first time, or buying a new car. Other 
benefits being claimed this year include:
  The Making Work Pay tax credit--95 percent of working families are 
already receiving the Recovery Act's Making Work Pay tax credit of $400 
for an individual or $800 for married couples filing jointly in their 
2009 paychecks--and will continue to see these benefits in 2010.
  Expanded family tax credits--moderate income families with children 
may be eligible for an increase in the Earned Income Tax Credit and the 
additional Child Tax Credit.
  Tax-free unemployment benefits--thanks to the Recovery Act, 
individuals who received unemployment insurance in 2009 do not have to 
pay taxes on the first $2,400 of such earnings.
  I firmly believe that unemployment benefits should never be taxed and 
I pledge to work in the coming tax year to enact legislation that would 
do away with this tax forever. In the meantime, I will continue to work 
with my colleagues to enact additional middle class tax cuts, like the 
Recovery Act and the Tax Assistance Act of 2010. I encourage my 
colleagues to support the bill.
  Mr. CAMP. Mr. Speaker, I rise in support of the bill, which will make 
a few small, but important changes to the administration of our tax 
laws.
  There is no question that April 15th is the most feared date on the 
Calendar. It is viewed with dread for good reason.
  The tax code is mind-numbingly confusing. It is a maze of forms and 
schedules and instructions that turns the simplest tax form into a 
lengthy challenge and that forces millions of Americans to turn to 
help, whether from an accountant, a professional tax preparer, or one 
of the many computer software programs designed for this purpose.
  The bill before us does make a few good changes to the code, 
including a provision long championed by Congressman Sam Johnson, a 
true American hero, that will end the long outdated requirement that 
employers record and report their employees' personal use of company-
provided cell phones and Blackberries.
  Another provision worthy of support will require the IRS to notify 
taxpayers they suspect have been victims of identify theft. That 
certainly makes sense.
  And for those taxpayers who do file their returns electronically, 
this bill will shorten the time the IRS has to pay refunds before 
interest accrues. This is a taxpayer friendly provision that will 
encourage electronic filing, which is both faster and cheaper for the 
government.
  Finally, let me express my thanks to Congressman Becerra for making 
some changes to this bill that helped secure my support.
  As introduced, the bill would have established a new authorization of 
up to $20 million per year to fund Volunteer Income Tax Assistance 
Centers. The IRS has funded these programs in the past without 
authorization, which is troubling enough. But of even more concern is 
the fact that ACORN was a recipient of these funds.
  Today, we know how badly ACORN was abusing the public trust, and I do 
applaud the IRS for heeding our call and canceling those contracts when 
the extent of ACORN's misconduct came to light.
  But I don't yet have confidence that the government will avoid a 
similar mistake in the future and again fund groups like ACORN. Simply 
put, Congress should not authorize these grants until we know who will 
be receiving them and how they will be used.
  And so I thank Mr. Becerra for agreeing to remove this language to 
allow the Congress to examine the issue more closely.
  I urge a ``yes'' vote on the bill.
  Mr. ETHERIDGE. Mr. Speaker, I rise in support of H.R. 4994, the 
Taxpayer Assistance Act of 2010. As we arrive at another tax filing 
deadline, I am pleased to support many of the measures to assist 
taxpayers and improve the Internal Revenue Code that have been 
discussed in the Ways and Means Subcommittee on Oversight.
  I just returned from a tax day event in my district, where I heard 
from several folks who live in the Second District about how they are 
saving money this tax year because of the American Recovery and 
Reinvestment Act and other recent tax cuts. As North Carolina's only 
Member of the House Committee on Ways and Means, I am proud to work to 
promote tax fairness for all Americans. In fact, the vast majority of 
middle-class North Carolinians are receiving larger refunds or paying 
less taxes than they were last year or the year before because of our 
action.
  However, many Americans have difficulty navigating the complexities 
of the tax code. They need to know where to turn for information, which 
is one of the things we discussed at Monday's tax day event. I am 
pleased to support this bill because it will help taxpayers get 
assistance in filing their taxes. Under the Taxpayer Assistance Act of 
2010, we will provide referrals from the IRS to Low Income Taxpayer 
Clinics (LITCs), increase funding for Volunteer Income Tax Assistance 
(VITA) sites, expand outreach for the Earned Income Tax Credit (EITC), 
make sure the IRS notifies taxpayers of unclaimed refunds, and help 
protect taxpayers from identity theft. H.R. 4994 will also improve tax 
fairness by studying the delivery of tax refunds and the effectiveness 
of collection alternatives. The bill also fixes the outdated tax 
treatment of business cell phones, so that businesses do not face the 
double burden of providing phones to their employees and also paying 
taxes for them as a benefit.
  Our goal should be to make our tax code more fair and workable for 
individuals, families, businesses and employees across the country, and 
this bill does just that. Improving the process for millions of 
taxpaying Americans should be a bipartisan priority. I support H.R. 
4994 and urge my colleagues on both sides of the aisle to join me in 
working together across party lines and voting for its passage.
  Mr. VAN HOLLEN. Mr. Speaker, I rise in support of the Taxpayer 
Assistance Act of 2010 and the common sense, bipartisan reform it 
represents.

[[Page 5498]]

  Consistent with its oversight responsibilities, the Ways and Means 
Committee routinely reviews the tax code with an eye towards updating 
antiquated provisions and making it more taxpayer-friendly. Towards 
that end, today's legislation modernizes the rules governing employer-
provided cell phone use to eliminate nuisance paperwork. It requires 
the IRS to pay interest on refunds related to individual tax returns 
that are filed electronically if the refund is not paid within thirty 
days. And it provides taxpayers with better notification on issues 
ranging from the Earned Income Tax Credit to identity theft.
  Since the April 15 tax deadline is tomorrow, I would be remiss if I 
did not point out that the improvements made by today's legislation 
come on the heels of one of the largest middle class tax cuts in 
American history. Under the Recovery Act's Make Work Pay credit, over 
95 percent of Americans got tax relief at a time when families and our 
economy needed it most. As a result, recent economic data clearly show 
we are transitioning from recession to recovery and laying the 
foundation for future economic growth.
  Mr. Speaker, the Taxpayer Assistance Act of 2010 is common sense 
reform and part of a growing chorus of good news for Americans and our 
economy. I urge a yes vote.
  Mr. DAVIS of Illinois. Mr. Speaker, across the United States, April 
15th is Tax Day. As Americans file their taxes, H.R. 4994, the Taxpayer 
Assistance Act of 2010, improves taxpayer programs and protections. The 
``Tax Day'' bill has a history of broad bi-partisan support and 
continues to receive large support today.
  Most importantly for the residents of the 7th District of Illinois 
and the Nation, the Taxpayer Assistance Act of 2010 includes programs 
that benefit low-income taxpayers. For example, H.R. 4994 increases 
funding for grants to provide low-income taxpayer clinics. Even in the 
absence of a specific appropriation, the Volunteer Income Tax 
Assistance program will be available for use because the Secretary of 
the Treasury could allocate up to $20 million of grant funding annually 
for the program. As recommended by the National Taxpayer Advocate, the 
bill allows IRS employees to refer people to these tax clinics as well. 
The Taxpayer Assistance Act of 2010 also improves the IRS's ability to 
inform taxpayers about the availability of the Earned Income Tax Credit 
in prior years, a tax credit that we know helps low-income households. 
In the 7th Congressional District alone, over 72,000 people 
participated in this program in 2007 with a savings of over $172 
million, with most of those taxpayers earning less than $20,000 a year.
  Further, the bill makes it easier for taxpayers to settle outstanding 
payments via the offers-in-compromise program. Importantly, H.R. 4994 
contains provisions to assure the protection of taxpayers, such as 
requiring the IRS to notify taxpayers when it suspects that a 
taxpayer's identity, or a dependent's identity, has been stolen. Each 
of the bill's provisions provides timely assistance and improvements 
for taxpayers.
  The Taxpayer Assistance Act of 2010 also adapts the tax system to 
technology in several ways. By allowing the removal of cell phones from 
listed property, the bill eliminates a strict, outdated rule. The 
current rule requires individuals to keep detailed records regarding 
cell phones and similar equipment used for business purposes, imposing 
unnecessary burdens on companies and taxpayers. The IRS also will be 
given the opportunity to utilize the internet and other forms of mass 
communication to notify taxpayers of ``unclaimed'' or ``undeliverable'' 
funds.
  Overall H.R. 4994 the Taxpayer Assistance Act of 2010 continues the 
tradition of the ``Tax Day'' bill by providing needed programs, 
protection to our taxpayers, and updates to outdated rules.
  Mr. LEWIS of Georgia. Mr. Speaker, I yield back the balance of my 
time.
  The SPEAKER pro tempore. The question is on the motion offered by the 
gentleman from Georgia (Mr. Lewis) that the House suspend the rules and 
pass the bill, H.R. 4994, as amended.
  The question was taken.
  The SPEAKER pro tempore. In the opinion of the Chair, two-thirds 
being in the affirmative, the ayes have it.
  Mr. LEWIS of Georgia. Mr. Speaker, on that I demand the yeas and 
nays.
  The yeas and nays were ordered.
  The SPEAKER pro tempore. Pursuant to clause 8 of rule XX and the 
Chair's prior announcement, further proceedings on this motion will be 
postponed.

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