,,ii #aacth ,,congress #ast ,session ,s4 #hhg ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,may #g1 #bjac ,mr4 ,paul introduced the following bill2 which was read twice and referred to the ,committee on ,finance ,a ,,bill ,to repeal the violation of sovereign nations' laws and privacy matters4 #a4 ,repeal of withholding and reporting with respect to certain foreign accounts 7a7 ,in general ,the ,internal ,revenue ,code of #aihf is amended by striking chapter #d4 7b7 ,conforming amendments for rules for electronically filed returns ,section #fjaa7;e77#d7 of such ,code is amended-- 7#a7 by striking 7as defined in section #adga7;d77#e77 and inserting 7as defined in section #fjch;,d7h77#c771 and 7#b7 by striking or #adgd7;a74 7c7 ,conforming amendment related to substitute dividends ,section #hga7l7 of such ,code is amended by striking chapters #c and #d both places it appears and inserting chapter #c4 7d7 ,other ,conforming amendments 7#a7 ,section #fdad of such ,code is amended by striking or #d4 7#b7 ,paragraph 7#a7 of section #feja7;b7 of such ,code is amended by striking #d14 7#c7 ,paragraph 7#b7 of section #feja7;b7 of such ,code is amended-- 7,a7 by striking #d11 and 7,b7 by striking and witholding taxes in the heading and inserting taxes and tax imposed by chapter #c4 7#d7 ,paragraph 7#c7 of section #feac7;b7 of such ,code is amended-- 7,a7 by striking or #d1 and 7,b7 by striking or #adgd7;b74 7#e7 ,section #feac7;c7 of such ,code is amended by striking #d14 7#f7 ,section #ffaa7;e77#d7 of the ,internal ,revenue ,code of #aihf is amended by striking or #d4 7#g7 ,paragraph 7#a7 of section #fgbd7;d7 of such ,code is amended by striking under chapter #d or4 7#h7 ,paragraph 7#b7 of section #fgbd7;d7 of such ,code is amended by striking or #d4 7e7 ,effective date ,the amendments made by this section shall apply to payments made after the date of the enactment of this ,act4 #b4 ,repeal of information reporting with respect to foreign financial assets 7a7 ,in general ,subpart ,a of part ,,iii of subchapter ,a of chapter #fa of the ,internal ,revenue ,code of #aihf is amended by striking section #fjch;,d4 7b7 ,repeal of modification of statute of limitations for significant omission of income in connection with foreign assets 7#a7 ,paragraph 7#a7 of section #feja7;e7 of the ,internal ,revenue ,code of #aihf is amended by striking subparagraph 7,a7 and by redesignating subparagraphs 7,b7 and 7,c7 as subparagraphs 7,a7 and 7,b71 respectively4 7#b7 ,subparagraph 7,a7 of section #feja7;e7 of such ,code1 as redesignated by paragraph 7#a71 is amended by striking all that precedes clause 7i7 and inserting the following3 7,a7 ,general rule ,if the taxpayer omits from gross income an amount properly included therein which is in excess of #be percent of the amount of gross income stated in the return1 the tax may be assessed1 or a proceeding in court for the collection of such tax may be begun without assessment1 at any time within #f years after the return was filed4 ,for purposes of this subparagraph-- 4 7#c7 ,paragraph 7#b7 of section #feja7;e7 of such ,code is amended by striking and such amount is described in clause 7i7 or 7ii7 of section #feja7;e77#a77;,a7 and inserting which is in excess of #be percent of the amount of gross income stated in its return4 7#d7 ,paragraph 7#h7 of section #feja7;c7 is amended-- 7,a7 by striking pursuant to an election under section #abie7;b7 or1 7,b7 by striking #abih7;f71 and 7,c7 by striking #fjch;,d14 7c7 ,clerical amendment ,the table of sections for subpart ,a of part ,,iii of subchapter ,a of chapter #fa of such ,code is amended by striking the item related to section #fjch;,d4 7d7 ,effective date 7#a7 ,in general ,except as provided in paragraph 7#b71 the amendments made by this section shall apply to taxable years ending after the date of the enactment of this ,act4 7#b7 ,returns ,the amendments made by subsection 7b7 shall apply to returns filed after the date of the enactment of this ,act4 #c4 ,repeal of penalties for underpayments attributable to undisclosed foreign financial assets 7a7 ,in general ,section #fffb of the ,internal ,revenue ,code of #aihf is amended-- 7#a7 in subsection 7b71 by striking paragraph 7#g71 and 7#b7 by striking subsection 7j74 7b7 ,effective date ,the amendments made by this section shall apply to taxable years ending after the date of the enactment of this ,act4 #d4 ,repeal of reporting of activities with respect to passive foreign investment companies 7a7 ,in general ,section #abih of the ,internal ,revenue ,code of #aihf is amended by striking subsection 7f7 and by redesignating subsection 7g7 as subsection 7f74 7b7 ,conforming amendment ,section #abia7;e7 of such ,code is amended by striking and 7d7 and inserting 1 7d71 and 7f74 7c7 ,effective date ,the amendments made by this section shall take effect on the date of the enactment of this ,act4 #e4 ,repeal of reporting requirement for ,united ,states owners of foreign trusts 7a7 ,in general ,paragraph 7#a7 of section #fjdh7;b7 is amended by striking shall submit such information as the ,secretary may prescribe with respect to such trust for such year and4 7b7 ,effective date ,the amendments made by this section shall apply to taxable years ending after the date of the enactment of this ,act4 #f4 ,repeal of minimum penalty with respect to failure to report on certain foreign trusts 7a7 ,in general ,section #ffgg7;a7 of the ,internal ,revenue ,code of #aihf is amended-- 7#a7 by striking the greater of #aj1jjj or1 and 7#b7 by striking the last sentence and inserting the following3 ,in no event shall the penalty under this subsection with respect to any failure exceed the gross reportable amount44 7b7 ,effective date ,the amendments made by this section shall apply to notices and returns required to be filed after the date of the enactment of this ,act4