Referred to the House Committee on Ways and Means.
The bill amends Internal Revenue Code section 7602(c) to require that, when the IRS plans to seek information from third parties related to a taxpayer's liability that the taxpayer could have provided, the notice to the taxpayer must identify each specific item of information to be sought. It also requires the notice to give the taxpayer at least 45 days (longer if reasonably requested) to respond before the IRS contacts third parties.
Liberals worry exception may weaken enforcement; conservatives emphasize limiting IRS power.
Relative to its intended legislative type, this bill is a focused substantive amendment to the Internal Revenue Code that imposes new taxpayer notice specificity and timing requirements for third-party information requests.
The bill amends Internal Revenue Code section 7602(c) to require that, when the IRS plans to seek information from third parties related to a taxpayer's liability that the taxpayer could have provided, the notice to the taxpayer must identify each specific item of information to be sought.
It also requires the notice to give the taxpayer at least 45 days (longer if reasonably requested) to respond before the IRS contacts third parties.
The Secretary may bypass the specificity requirement if the Secretary determines the information is necessary.
Technically narrow and administrable so plausible, but potential agency resistance and Senate procedural barriers leave substantial uncertainty.
Relative to its intended legislative type, this bill is a focused substantive amendment to the Internal Revenue Code that imposes new taxpayer notice specificity and timing requirements for third-party information requests. The statutory edits are specific and integrated into existing law, but the bill omits fiscal/resourcing discussion and leaves certain procedural definitions and accountability mechanisms unspecified.
Liberals worry exception may weaken enforcement; conservatives emphasize limiting IRS power.
These are examples from the analysis, not a ranked list of the most-affected groups.
Liberals worry exception may weaken enforcement; conservatives emphasize limiting IRS power.
Likely supportive of stronger taxpayer notice and privacy protections, viewing them as due-process improvements.
However, this persona will be concerned that the new exception could be broadly invoked and weaken enforcement, possibly reducing IRS capacity to collect revenue needed for public programs.
Views the bill as a reasonable procedural reform balancing taxpayer rights and enforcement.
Will seek clearer definitions and accountability for the Secretary's exception, and wants assurance the change won't create large unfunded enforcement gaps.
Favors limiting IRS authority and increasing taxpayer protections, viewing the bill as a check on administrative overreach.
May still want the exception preserved for clear enforcement needs, but generally welcomes tighter notice requirements.
Reached or meaningfully advanced
Reached or meaningfully advanced
Still ahead
Still ahead
Still ahead
Technically narrow and administrable so plausible, but potential agency resistance and Senate procedural barriers leave substantial uncertainty.
The bill has not accumulated any surfaced votes yet.
Liberals worry exception may weaken enforcement; conservatives emphasize limiting IRS power.
Technically narrow and administrable so plausible, but potential agency resistance and Senate procedural barriers leave substantial uncerta…
Relative to its intended legislative type, this bill is a focused substantive amendment to the Internal Revenue Code that imposes new taxpayer notice specificity and timing requirements for third-party information reque…
Go beyond the headline summary with full stakeholder mapping, legislative design analysis, passage barriers, and lens-by-lens tradeoff breakdowns.