,i  #aac? ,,congress  #a/ ,session  ,h4 
,r4 #eca  ,,9 ,,! ,,h\se ,,(            
,,repres5tatives  ,febru>y #f1 #bjac    
,ms4 ,ca/or ( ,florida 7= h]self & ,mr4 
,nug5t7 introduc$ ! foll[+ bill2 :i* 0  
ref]r$ to ! ,committee on ,ways &       
,means1 & 9 addition to ! ,committee on 
! ,judici>y1 = a p]iod to be subsequ5tly
 det]m9$ by ! ,speak]1 9 ea* case =     
consid]ation ( su* provisions z fall )9 
! jurisdiction ( ! committee conc]n$  ,a
 ,,bill  ,to prev5t id5tity !ft & tax   
crimes4  #a4 ,%ort title ,?is ,act may  
be cit$ z ! ,tax ,crimes & ,id5tity ,!ft
 ,prev5tion ,act4  #b4 ,exp$it$         
resolution f ,int]nal ,rev5ue ,s]vice = 
id5tity !ft victims ,n lat] ?an #ij days
 aft] an individual notifies ! ,secret>y
 ( ! ,treasury t su* individual's       
id5tity has be5 misus$ by ano!r p]son 9 
connection ) ! int]nal rev5ue laws1 !   
,secret>y %all1 to ! ext5t practicable1 
det]m9e ! ext5t to :i* ! taxpay]'s      
return & return in=mation 7 affect$ by  
su* misuse & %all take su* actions z are

 necess>y to correct su* affect$ return 
or return in=mation ) respect to su*    
misuse4  #c4 ,disclosure ( return &     
return in=mation 9 ,f$]al & ,/ate       
prosecution relat+ to id5tity fraud  7a7
 ,9 g5]al ,subsection 7k7 ( section     
#fajc ( ! ,int]nal ,rev5ue ,code ( #aihf
 is am5d$ by add+ at ! end ! foll[+ new 
p>agraph3  7#aa7 ,disclosure ( c]ta9    
return in=mation 9 connection ) id5tity 
!ft & fraudul5t returns  7,a7 ,9 g5]al  
,9 ! case ( an inve/igation p]ta9+ to ! 
misuse ( ! id5tity ( ano!r p]son =      
purposes ( fil+ a false or fraudul5t    
return ( tax1 ^u receipt ( a writt5     
reque/ :i* meets ! requirem5ts (        
subp>agraph 7,c71 ! ,secret>y may       
disclose return in=mation to (fic]s &   
employees ( any ,f$]al law en=cem5t     
ag5cy1 or any (fic]s & employees ( any  
,/ate or local law en=cem5t ag5cy1 :o   
are p]sonally & directly engag$ 9 !     
inve/igation ( any crimes implicat$ 9   
su* misuse1 b only if any su* law       
en=cem5t ag5cy is "p ( a team ) !       

,int]nal ,rev5ue ,s]vice 9 su*          
inve/igation4  7,b7 ,limitation on use (
 in=mation ,in=mation disclos$ "u ?is   
subp>agraph %all be solely = ! use ( su*
 (fic]s & employees to :om su* in=mation
 is disclos$ 9 su* inve/igation4  7,c7  
,requirem5ts ,a reque/ meets !          
requirem5ts ( ?is clause if--  7i7 !    
reque/ is made by ! head ( ! ag5cy 7or 8
 delegate7 involv$ 9 su* inve/igation1 &
  7ii7 ! reque/ sets =? ! specific      
reason :y su* disclosure may be relevant
 to ! inve/igation4  4  7b7 ,con=m+     
am5dm5ts  7#a7 ,p>agraph 7#b7 ( section 
#fajc7;a7 ( su* ,code is am5d$ by ins]t+
 or 7k77#aa7 aft] subsection            
7i77#g77;,a74  7#b7 ,p>agraph 7#d7 (    
section #fajc7p7 ( su* ,code is am5d$ 9 
! matt] prec$+ subp>agraph 7,a7 by      
ins]t+ or 7#aa7 aft] 7k77#aj74  7#c7    
,p>agraph 7#b7 ( section #gbac7;a7 ( su*
 ,code is am5d$ by ins]t+ 7k77#aa71 aft]
 7#g77;,a77i714  7c7 ,effective date ,! 
am5dm5ts made by ?is section %all apply 
to disclosures aft] ! date ( ! enactm5t 

( ?is ,act4  #d4 ,crim9al p5alty = us+ a
 false id5tity 9 connection ) tax fraud 
7a7 ,9 g5]al ,section #gbjg ( ! ,int]nal
 ,rev5ue ,code ( #aihf is am5d$--  7#a7 
by /rik+ ,any p]son :o willfully &      
ins]t+ ! foll[+3  7a7 ,9 g5]al ,any     
p]son :o willfully  1  7#b7 by /rik+    
,any p]son requir$ & ins]t+ ! foll[+3   
7b7 ,in=mation 9 connection ) c]ta9     
exempt organizations ,any p]son requir$ 
1 &  7#c7 by add+ at ! end ! foll[+3    
7c7 ,misappropriation ( id5tity ,any    
p]son :o kn[+ly or willfully            
misappropriates ano!r p]son's tax       
id5tification numb] 9 connection ) any  
li/1 return1 acc\nt1 /atem5t1 or o!r    
docum5t submitt$ to ! ,secret>y %all be 
f9$ n less ?an #be1jjj 7#bjj1jjj 9 !    
case ( a corporation71 or imprison$ n m 
?an #e ye>s1 or bo?1 toge!r ) ! co/s (  
prosecution4  4  7b7 ,effective date ,! 
am5dm5ts made by ?is section %all apply 
to returns & in=mation submitt$ aft] !  
date ( ! enactm5t ( ?is ,act4  #e4      
,increas$ p5alty = improp] disclosure or

 use ( in=mation by prep>]s ( returns   
7a7 ,9 g5]al ,section #fgac7;a7 ( !     
,int]nal ,rev5ue ,code ( #aihf is       
am5d$--  7#a7 by /rik+ #bej & ins]t+    
#a1jjj1 &  7#b7 by /rik+ #aj1jjj &      
ins]t+ #ej1jjj4  7b7 ,crim9al p5alty    
,section #gbaf7;a7 ( ! ,int]nal ,rev5ue 
,code ( #aihf is am5d$ by /rik+ #a1jjj &
 ins]t+ #ajj1jjj4  7c7 ,effective date  
,! am5dm5ts made by ?is section %all    
apply to disclosures or uses aft] ! date
 ( ! enactm5t ( ?is ,act4  #f4 ,,p9     
sy/em = prev5tion ( id5tity !ft tax     
fraud ,n lat] ?an #a ye> aft] ! date ( !
 enactm5t ( ?is ,act1 ! ,secret>y ( !   
,treasury 7or ! ,secret>y's delegate7   
%all implem5t an id5tify !ft tax fraud  
prev5tion program "u :i*--  7#a7 a p]son
 :o has fil$ an id5tity !ft affidavit ) 
! ,secret>y may elect--  7,a7 to be     
provid$ ) a unique p]sonal id5tification
 numb] to be includ$ on any ,f$]al tax  
return fil$ by su* p]son1 or  7,b7 to   
prev5t ! process+ ( any ,f$]al tax      
return submitt$ 9 an electronic =mat by 

a p]son purport+ to be su* p]son1 &     
7#b7 ! ,secret>y w provide additional   
id5tity v]ification safegu>ds = !       
process+ ( any ,f$]al tax return fil$ by
 a p]son describ$ 9 p>agraph 7#a7 9     
cases :]e a unique p]sonal id5tification
 numb] is n includ$ on ! return4  #g4   
,prev5tion ( fraudul5t refunds  7a7 ,9  
g5]al ,! ,secret>y ( ! ,treasury 7or !  
,secret>y's delegate7 %all e/abli% a    
fraudul5t tax refund prev5tion program  
"u :i*--  7#a7 additional trigg]s are   
add$ to ! refund database to id5tify    
pot5tially fraudul5t tax refunds1 &     
7#b7 ! legitimacy ( ! refund claim c be 
promptly det]m9$ be=e ! di/ribution ( ! 
refund4  7b7 ,multiple refunds to same  
debit c>d ,! additional trigg]s add$ "u 
subsection 7a77#a7 %all include         
id5tification ( reque/s = multiple      
refunds to be paid to ! same debit c>d4 
#h4 ,au?ority to transf] ,int]nal       
,rev5ue ,s]vice appropriations to use = 
tax fraud en=cem5t ,= any fiscal ye>1 ! 
,commission] ( ,int]nal ,rev5ue may     

transf] n m ?an #aj1jjj1jjj to !        
,en=cem5t acc\nt ( ! ,int]nal ,rev5ue   
,s]vice f am\nts appropriat$ to o!r     
,int]nal ,rev5ue ,s]vice acc\nts4 ,any  
am\nts s transf]r$ %all be us$ solely = 
! purposes ( prev5t+ & resolv+ pot5tial 
cases ( tax fraud4  #i4 ,local ,law     
,en=cem5t ,liaison  7a7 ,e/abli%m5t ,!  
,commission] ( ,int]nal ,rev5ue %all    
e/abli% )9 ! ,crim9al ,inve/igation     
,division ( ! ,int]nal ,rev5ue ,s]vice !
 position ( ,local ,law ,en=cem5t       
,liaison4  7b7 ,duties ,! ,local ,law   
,en=cem5t ,liaison %all--  7#a7         
coord9ate ! inve/igation ( tax fraud )  
,/ate & local law en=cem5t ag5cies2     
7#b7 communicate ! /atus ( tax fraud    
cases involv+ id5tity !ft1 &  7#c7 c>ry 
out su* o!r duties z delegat$ by !      
,commission] ( ,int]nal ,rev5ue4  #aj4  
,report on tax fraud ,subsection 7a7 (  
section #ghjc ( ! ,int]nal ,rev5ue ,code
 ( #aihf is am5d$ by add+ at ! end !    
foll[+ new p>agraph3  7#d7 ,annual      
report on tax fraud ,! ,commission] %all

 submit to ! ,committee on ,f9ance ( !  
,s5ate & ! ,committee on ,ways & ,means 
( ! ,h\se ( ,repres5tatives an annual   
report detail+--  7,a7 ! numb] ( reports
 ( tax fraud & suspect$ tax fraud       
receiv$ f ,/ate & local law en=cem5t    
ag5cies 9 ! prec$+ ye>1 &  7,b7 !       
actions tak5 9 response to su* reports4 
4  #aa4 ,/udy on ! use ( prepaid debit  
c>ds & comm]cial tax prep>ation s(tw>e 9
 tax fraud  7a7 ,9 g5]al ,! ,comptroll] 
,g5]al %all conduct a /udy to exam9e !  
role ( prepaid debit c>ds & comm]cial   
tax prep>ation s(tw>e 9 facilitat+      
fraudul5t tax returns ?r\gh id5tity !ft4
  7b7 ,report ,n lat] ?an #a ye> aft] ! 
date ( ! enactm5t ( ?is ,act1 !         
,comptroll] ,g5]al %all submit to !     
,committee on ,f9ance ( ! ,s5ate & !    
,committee on ,ways & ,means ( ! ,h\se (
 ,repres5tatives a report ) ! results ( 
! /udy conduct$ "u subsection 7a71      
toge!r ) any recomm5dations4  #ab4      
,re/riction on access to ! dea? ma/]    
file  7a7 ,9 g5]al ,! ,secret>y (       

,comm]ce %all n disclose in=mation      
conta9$ on ! ,dea? ,ma/] ,file to any   
p]son ) respect to any individual :o has
 di$ at any "t dur+ ! cal5d> ye> 9 :i* !
 reque/ = disclosure is made or !       
succe$+ cal5d> ye> unless su* p]son is  
c]tifi$ "u ! program e/abli%$ "u        
subsection 7b74  7b7 ,c]tification      
program  7#a7 ,9 g5]al ,! ,secret>y (   
,comm]ce %all e/abli% a program to      
c]tify p]sons :o are eligible to access 
! in=mation describ$ 9 subsection 7a7   
conta9$ on ! ,dea? ,ma/] ,file4  7#b7   
,c]tification ,a p]son %all n be c]tifi$
 "u ! program e/abli%$ "u p>agraph 7#a7 
unless ! ,secret>y det]m9es t su* p]son 
has a legitimate fraud prev5tion int]e/ 
9 access+ ! in=mation describ$ 9        
subsection 7a74  7c7 ,imposition (      
p5alty ,any p]son :o is c]tifi$ "u !    
program e/abli%$ "u subsection 7b71 :o  
receives in=mation describ$ 9 subsection
 7a71 & :o dur+ ! p]iod ( "t describ$ 9 
subsection 7a7--  7#a7 discloses su*    
in=mation to any o!r p]son1 or  7#b7    

uses any su* in=mation = any purpose o!r
 ?an to detect or prev5t fraud1  %all   
pay a p5alty ( #a1jjj = ea* su*         
disclosure or use1 b ! total am\nt      
impos$ "u ?is subsection on su* a p]son 
= any cal5d> ye> %all n exce$ #ej1jjj4  
7d7 ,exemption f ,fre$om ( ,in=mation   
,act requirem5t ) respect to c]ta9      
records ( deceas$ individuals  7#a7 ,9  
,g5]al ,! ,social ,security             
,adm9i/ration %all n be compell$ to     
disclose to any p]son :o is n c]tifi$ "u
 ! program e/abli%$ "u section #i7;b7 ! 
in=mation describ$ 9 section #i7;a74    
7#b7 ,treatm5t ( ,in=mation ,= purposes 
( section #eeb ( title #e1 ,unit$ ,/ates
 ,code1 ?is section %all be consid]$ a  
/atute describ$ 9 subsection            
7b77#c77;,b7 ( su* section #eeb4  #ac4  
,treasury report on in=mation %>+ b>ri]s
 ) respect to id5tity !ft  7a7 ,review  
7#a7 ,9 g5]al ,! ,secret>y ( ! ,treasury
 7or ! ,secret>y's delegate7 %all review
 :e!r curr5t ,f$]al tax laws &          
regulations relat$ to ! confid5tiality &

 disclosure ( return in=mation prev5t ! 
effective en=cem5t ( local1 ,/ate1 &    
,f$]al id5tity !ft /atutes4 ,! review   
%all consid] :e!r great] in=mation %>+  
betwe5 ! ,int]nal ,rev5ue ,s]vice &     
,/ate & local law en=cem5t au?orities   
w\ld improve ! en=cem5t ( crim9al laws  
at all levels ( gov]nm5t4  7#b7         
,consultation ,9 conduct+ ! review "u   
p>agraph 7#a71 ! ,secret>y %all solicit 
! views (1 & consult )1 ,/ate & local   
law en=cem5t (ficials4  7b7 ,report ,n  
lat] ?an #ahj days aft] ! date (        
enactm5t ( ?is ,act1 ! ,secret>y %all   
submit a report ) ! results ( ! review  
conduct$ "u subsection 7a71 along ) any 
legislative recomm5dations1 to !        
,committee on ,f9ance ( ! ,s5ate & !    
,committee on ,ways & ,means ( ! ,h\se (
 ,repres5tatives4  #ad4 ,grants to      
inve/igate & prosecute ,/ate & local tax
 crimes  7a7 ,grant program au?oriz$ ,! 
,attorney ,g5]al is au?oriz$ to aw>d    
grants to ,/ate & local law en=cem5t    
ag5cies to assi/ su* ag5cies 9 !        

inve/igation & prosecution ( tax crimes4
  7b7 ,au?orization ( appropriations ,= 
ea* fiscal ye>1 !re are au?oriz$ to be  
appropriat$ to c>ry out ?is section1 f  
am\nts made available 9 ea* su* fiscal  
ye> to c>ry out ! ,edw>d ,byrne         
,memorial ,ju/ice ,assi/ance ,grants    
program "u "p ,e ( title ,i ( ! ,omnibus
 ,crime ,control & ,safe ,/reets ,act ( 
#aifh 7#db ,u4,s4,c4 #cgej et seq471    
#ej1jjj1jjj4