,,ii #aae? ,,congress #b;d ,session ,s4 #cbgh ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,july #bf1 #bjah ,mr4 ,portman 7= himself & ,mr4 ,c>d97 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,f9ance ,a ,,bill ,to am5d ! ,int]nal ,rev5ue ,code ( #aihf to provide additional protections to taxpay]s4 #a4 ,%ort title2 table ( cont5ts 7a7 ,%ort title ,?is ,act may be cit$ z ! ,protect+ ,taxpay]s ,act4 7b7 ,table ( cont5ts ,! table ( cont5ts ( ?is ,act is z foll[s3 ,sec4 #a4 ,%ort title2 table ( cont5ts4 ,sec4 #b4 ,am5dm5t ( ,int]nal ,rev5ue ,code ( #aihf4 ,,title ,i--,managem5t & ,tra9+ ,sec4 #aja4 ,int]nal ,rev5ue ,s]vice ,managem5t ,bo>d4 ,sec4 #ajb4 ,compreh5sive tra9+ /rategy4 ,sec4 #ajc4 ,/reaml9+ c5traliz$ tra9+ program approval4 ,,title ,,ii--,taxpay] ,protection ,sec4 #bja4 ,qu>t]ly notices ( del9qu5cy4 ,sec4 #bjb4 ,regulation ( tax return prep>]s4 ,sec4 #bjc4 ,misdirect$ tax refund deposits4 ,,title ,,iii--,small ,bus9ess ,tax ,adm9i/ration & ,compliance ,sec4 #cja4 ,safe h>bor = employ] tip report+4 ,sec4 #cjb4 ,in=mation report+ ( income f c]ta9 r5tals ( space 9 ! beauty s]vice indu/ry4 ,sec4 #cjc4 ,release ( ,f$]al tax levies :i* cause bus9ess h>d%ip4 ,sec4 #cjd4 ,ext5sion ( "t = mak+ ,s corporation elections4 ,sec4 #cje4 ,qu>t]ly report+ ( e/imat$ tax paym5ts4 ,,title ,,iv--,retirem5t plans & sav+s ,sec4 #dja4 ,expansion ( employee plans compliance resolution sy/em4 ,,title ,v--,assi/ance = l[-income taxpay]s ,sec4 #eja4 ,e/abli%m5t ( income ?re%old = ref]ral to private debt collection4 ,sec4 #ejb4 ,return prep>ation programs = applicable taxpay]s4 ,sec4 #ejc4 ,l[-income taxpay] cl9ics4 ,sec4 #ejd4 ,l[-income exception = paym5ts o!rwise requir$ 9 connection ) a submission ( an (f]-9-compromise4 ,,title ,,vi--,appeals ,process ,sec4 #fja4 ,"r to indep5d5t conf]5ce4 ,sec4 #fjb4 ,access to case files4 ,sec4 #fjc4 ,ensur+ taxpay] "r to appeal4 ,sec4 #fjd4 ,limitation on designation ( cases z n eligible = ref]ral to ,indep5d5t ,(fice ( ,appeals4 ,sec4 #fje4 ,proc$ures relat$ to ,secret>ial au?ority to designate cases = litigation4 ,,title ,,vii--,miscellane\s ,sec4 #gja4 ,modification ( au?ority to issue designat$ summons4 ,sec4 #gjb4 ,/reaml9$ critical pay au?ority = in=mation te*nology positions4 ,sec4 #gjc4 ,uni=m /&>ds = ! use ( electronic signatures = disclosure au?orizations to1 & o!r au?orizations (1 practition]s4 ,sec4 #gjd4 ,limitation on access ( non-,int]nal ,rev5ue ,s]vice employees to returns & return in=mation4 #b4 ,am5dm5t ( ,int]nal ,rev5ue ,code ( #aihf ,except z o!rwise expressly provid$1 :5ev] 9 ?is ,act an am5dm5t or repeal is express$ 9 t]ms ( an am5dm5t to1 or repeal (1 a section or o!r provision1 ! ref]5ce %all be consid]$ to be made to a section or o!r provision ( ! ,int]nal ,rev5ue ,code ( #aihf4 ,i ,managem5t & ,tra9+ #aja4 ,int]nal ,rev5ue ,s]vice ,managem5t ,bo>d 7a7 ,9 g5]al ,section #ghjb is am5d$-- 7#a7 9 ! head+1 by /rik+ ,ov]sight ,bo>d & ins]t+ ,managem5t ,bo>d1 7#b7 by /rik+ ,ov]sight ,bo>d ea* place x appe>s & ins]t+ ,managem5t ,bo>d1 7#c7 9 subsection 7b7-- 7,a7 9 p>agraph 7#a7-- 7i7 9 subp>agraph 7,a71 by /rik+ six & ins]t+ f\r1 7ii7 by /rik+ subp>agraph 7,b7 & ins]t+ ! foll[+3 7,b7 "o non-vot+ memb] %all be ! ,deputy ,secret>y ( ! ,treasury4 1 7iii7 9 subp>agraph 7,c71 by ins]t+ non-vot+ be=e memb]1 & 7iv7 by add+ at ! end ! foll[+ new subp>agraph3 7,e7 "o non-vot+ memb] %all be ! ,deputy ,inspector ,g5]al = ,tax ,adm9i/ration4 1 7,b7 9 p>agraph 7#d71 by /rik+ ,five memb]s & ins]t+ ,?ree vot+ memb]s1 & 7,c7 9 p>agraph 7#e71 by /rik+ subp>agraph 7,b7 & ins]t+ ! foll[+3 7,b7 ,ex (ficio memb]s ,an individual describ$ 9 subp>agraph 7,b71 7,c71 or 7,e7 ( p>agraph 7#a7 %all be remov$ ^u t]m9ation ( s]vice 9 ! (fice describ$ 9 su* subp>agraph4 1 7#d7 9 subsection 7c77#a77;,b71 by ins]t+ & t all employees ( ! ,int]nal ,rev5ue ,s]vice are famili> ) & act 9 accordance ) ! ,taxpay] ,bill ( ,rights be=e ! p]iod1 & 7#e7 9 subsection 7d7-- 7,a7 9 p>agraph 7#a7-- 7i7 9 subp>agraph 7,a71 by /rik+ & at ! end1 7ii7 by /rik+ subp>agraph 7,b7 & ins]t+ ! foll[+3 7,b7 long-range /rategic plans1 & 1 & 7iii7 by add+ at ! end ! foll[+3 7,c7 an annual p]=mance report & plan4 1 7,b7 9 p>agraph 7#c7-- 7i7 9 subp>agraph 7,b7-- 7,i7 by /rik+ selection1 evaluation1 & comp5sation & ins]t+ selection & evaluation1 & 7,,ii7 by /rik+ & at ! end1 7ii7 by r$esignat+ subp>agraph 7,c7 z subp>agraph 7,d71 & 7iii7 by ins]t+ aft] subp>agraph 7,b7 ! foll[+3 7,c7 review & approve ! ,commission]'s comp5sation ( ,int]nal ,rev5ue ,s]vice s5ior executives describ$ 9 subp>agraph 7,b72 & 1 7,c7 9 p>agraph 7#d7-- 7i7 9 subp>agraph 7,b71 by /rik+ & at ! end1 7ii7 by r$esignat+ subp>agraph 7,c7 z subp>agraph 7,d71 & 7iii7 by ins]t+ aft] subp>agraph 7,b7 ! foll[+3 7,c7 review any *anges made to su* budget reque/ by ! ,(fice ( ,managem5t & ,budget prior to submission ( ! ,presid5t's annual budget reque/ to ,congress2 & 1 & 7,d7 by ins]t+ aft] p>agraph 7#e7 ! foll[+3 7#f7 ,audits ,to direct ! ,treasury ,inspector ,g5]al = ,tax ,adm9i/ration to p]=m an audit ( any programs or op]ations ( ! ,int]nal ,rev5ue ,s]vice4 4 7b7 ,con=m+ am5dm5ts 7#a7 ,section #didf7;c77#g7 is am5d$ by /rik+ ,ov]sight ,bo>d & ins]t+ ,managem5t ,bo>d4 7#b7 ,p>agraph 7#f7 ( section #fajc7;h7 is am5d$-- 7,a7 9 ! head+1 by /rik+ ,ov]sight ,bo>d & ins]t+ ,managem5t ,bo>d1 & 7,b7 by /rik+ ,ov]sight ,bo>d ea* place x appe>s & ins]t+ ,managem5t ,bo>d4 7#c7 ,section #ghjc is am5d$-- 7,a7 9 subsection 7a77#d71 by /rik+ ,ov]sight ,bo>d & ins]t+ ,managem5t ,bo>d1 & 7,b7 9 subsection 7c7-- 7i7 9 p>agraph 7#a77;,b77ii71 by /rik+ ,ov]sight ,bo>d & ins]t+ ,managem5t ,bo>d1 & 7ii7 9 p>agraph 7#b77;,b77iii71 by /rik+ ,ov]sight ,bo>d & ins]t+ ,managem5t ,bo>d4 7c7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! date ( ! enactm5t ( ?is ,act4 #ajb4 ,compreh5sive tra9+ /rategy ,n lat] ?an #a ye> aft] ! date ( ! enactm5t ( ?is ,act1 ! ,commission] ( ,int]nal ,rev5ue1 9 consultation ) ! ,national ,taxpay] ,advocate1 %all submit to ,congress a writt5 report provid+ a compreh5sive tra9+ /rategy = employees ( ! ,int]nal ,rev5ue ,s]vice1 includ+-- 7#a7 a plan to /reaml9e curr5t tra9+ processes1 includ+ an assessm5t ( ! utility ( fur!r consolidat+ int]nal tra9+ programs1 te*nology1 & fund+1 7#b7 a plan to develop annual tra9+ reg>d+ taxpay] rights1 includ+ ! role ( ! ,(fice ( ! ,taxpay] ,advocate1 7#c7 a plan to improve te*nology-bas$ tra9+1 includ+ by develop+ or adopt+ /ate-(-!-art tra9+ deliv]y me?ods1 7#d7 proposals to focus employee tra9+ on e>ly1 fair1 & effici5t resolution ( taxpay] disputes & to ensure consi/5cy ( skill developm5t & employee evaluation ?r\gh\t ! ,int]nal ,rev5ue ,s]vice1 7#e7 recomm5dations = improvem5t ( employee recruitm5t1 & 7#f7 a ?or\gh assessm5t ( ! fund+ necess>y to implem5t su* /rategy4 #ajc4 ,/reaml9+ c5traliz$ tra9+ program approval ,! ,secret>y ( ! ,treasury1 or ! ,secret>y's delegate1 %all modify ! policy promulgat$ "u ,treasury ,directive #ab-gj to p]mit employee tra9+ ev5ts 7z def9$ by ! ,secret>y or ! ,secret>y's delegate7 = employees ( ! ,int]nal ,rev5ue ,s]vice1 ! co/ to ! ,int]nal ,rev5ue ,s]vice ( :i* exce$s #bdi1iii 7b does n exce$ #ejj1jjj71 to be approv$ by a ,deputy ,commission] ( ,int]nal ,rev5ue4 ,,ii ,taxpay] ,protection #bja4 ,qu>t]ly notices ( del9qu5cy 7a7 ,9 g5]al ,section #gebd is am5d$-- 7#a7 9 ! head+1 by /rik+ ,annual & ins]t+ ,qu>t]ly1 & 7#b7 by /rik+ annually & ins]t+ ea* cal5d> qu>t]4 7b7 ,effective date ,! am5dm5ts made by ?is section %all apply to any cal5d> qu>t] beg9n+ aft] ,decemb] #ca1 #bjah4 #bjb4 ,regulation ( tax return prep>]s 7a7 ,9 g5]al ,subsection 7a7 ( section #ccj ( title #ca1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 by /rik+ p>agraph 7#a7 & ins]t+ ! foll[+3 7#a7 regulate-- 7,a7 ! practice ( repres5tatives ( p]sons be=e ! ,dep>tm5t ( ! ,treasury2 & 7,b7 ! practice ( tax return prep>]s2 & 1 & 7#b7 9 p>agraph 7#b7-- 7,a7 by ins]t+ or a tax return prep>] to prep>e tax returns aft] practice1 7,b7 by ins]t+ or tax return prep>] be=e demon/rate1 & 7,c7 by ins]t+ or 9 prep>+ _! tax returns1 claims = refund1 or docum5ts 9 connection ) tax returns or claims = refund aft] cases 9 subp>agraph 7,d74 7b7 ,au?ority ,to sanction regulat$ tax return prep>]s ,subsection 7c7 ( section #ccj ( title #ca1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 by /rik+ be=e ! ,dep>tm5t1 7#b7 by ins]t+ or tax return prep>] aft] repres5tative ea* place x appe>s1 & 7#c7 9 p>agraph 7#d71 by /rik+ misleads or ?reat5s & all t foll[s & ins]t+ misleads or ?reat5s-- 7,a7 any p]son be+ repres5t$ or any prospective p]son be+ repres5t$2 or 7,b7 any p]son or prospective p]son ^: tax return1 claim = refund1 or docum5t 9 connection ) a tax return or claim = refund1 is be+ or may be prep>$4 4 7c7 ,m9imum compet5cy /&>ds = tax return prep>]s ,section #ccj ( title #ca1 ,unit$ ,/ates ,code1 is am5d$ by add+ at ! end ! foll[+ new subsection3 7f7 ,tax return prep>]s 7#a7 ,9 g5]al ,any tax return prep>] %all demon/rate m9imum compet5cy /&>ds "u ?is subsection by-- 7,a7 obta9+ an id5tify+ numb] = secur+ prop] id5tification ( su* prep>] z describ$ 9 section #faji7;a77#d7 ( ! ,int]nal ,rev5ue ,code ( #aihf2 7,b7 satisfy+ any exam9ation & annual cont9u+ education requirem5ts z prescrib$ by ! ,secret>y2 & 7,c7 complet+ a backgr\nd *eck adm9i/]$ by ! ,secret>y4 7#b7 ,exemption ,! ,secret>y %all exempt tax return prep>]s :o h be5 subject to comp>able exam9ation1 cont9u+ education requirem5ts1 & backgr\nd *ecks adm9i/]$ by ! ,secret>y or any comp>able ,/ate lic5s+ program4 ,su* exemption %all ext5d directly to individuals :o are sup]vis$ by su* prep>]s & are n requir$ to secure an id5tification numb] "u section #faji7;a77#d74 4 7d7 ,tax return prep>] def9$ ,section #ccj ( title #ca1 ,unit$ ,/ates ,code1 z am5d$ by subsection 7c71 is am5d$ by add+ at ! end ! foll[+ new subsection3 7g7 ,tax return prep>] ,= purposes ( ?is section-- 7#a7 ,9 g5]al ,! t]m tax return prep>] has ! mean+ giv5 su* t]m "u section #ggja7;a77#cf7 ( ! ,int]nal ,rev5ue ,code ( #aihf4 7#b7 ,tax return ,! t]m tax return has ! mean+ giv5 to ! t]m return "u section #ffif7;e77#a7 ( ! ,int]nal ,rev5ue ,code ( #aihf4 7#c7 ,claim = refund ,! t]m claim = refund has ! mean+ giv5 su* t]m "u section #ffif7;e77#b7 ( su* ,code4 4 7e7 ,am5dm5ts ) respect to id5tify+ numb] 7#a7 ,9 g5]al ,section #faji7;a7 is am5d$ by /rik+ p>agraph 7#d7 & ins]t+ ! foll[+3 7#d7 ,furni%+ id5tify+ numb] ( tax return prep>] 7,a7 ,9 g5]al ,any return or claim = refund prep>$ by a tax return prep>] %all be> su* id5tify+ numb] = secur+ prop] id5tification ( su* prep>]1 8 employ]1 or bo?1 z may be prescrib$4 ,= purposes ( ?is p>agraph1 ! t]ms return & claim = refund h ! respective mean+s giv5 to su* t]ms by section #ffif7;e74 7,b7 ,exception ,subp>agraph 7,a7 %all n apply to any tax return prep>] :o prep>es a return or claim = refund "u ! sup]vision & direction ( a tax return prep>] :o signs ! return or claim = refund & is a c]tifi$ public acc\ntant1 an attorney or enroll$ ag5t4 4 7#b7 ,cl>ification ( rescission au?ority ,section #faji is am5d$ by ins]t+ aft] subsection 7d7 ! foll[+ new subsection3 7e7 ,au?ority ,to resc9d id5tify+ numb] ( tax return prep>] 7#a7 ,9 g5]al ,! ,secret>y may resc9d an id5tify+ numb] issu$ "u subsection 7a77#d7 if-- 7,a7 aft] notice & opportunity = a he>+1 ! prep>] is %[n to be incompet5t or disreputable 7z su* t]ms are us$ 9 subsection 7c7 ( section #ccj ( title #ca1 ,unit$ ,/ates ,code71 & 7,b7 resc9d+ ! id5tify+ numb] w\ld promote compliance ) ! requirem5ts ( ?is title & effective tax adm9i/ration4 7#b7 ,records ,if an id5tify+ numb] is resc9d$ "u p>agraph 7#a71 ! ,secret>y %all place 9 ! file 9 ! ,(fice ( ! ,director ( ,pr(essional ,responsibility ! op9ion ( ! ,secret>y ) respect to ! det]m9ation1 includ+-- 7,a7 a /atem5t ( ! facts & circum/ances relat+ to ! det]m9ation1 & 7,b7 ! reasons = ! rescission4 4 7f7 ,,gao /udy & report on ! ex*ange ( in=mation betwe5 ! ,,irs & ,/ate taxation au?orities 7#a7 ,9 g5]al ,n lat] ?an #ah mon?s aft] ! date ( ! enactm5t ( ?is ,act1 ! ,comptroll] ,g5]al %all conduct a /udy & submit to ,congress a report on ! %>+ ( in=mation betwe5 ! ,secret>y ( ! ,treasury & ,/ate au?orities1 z au?oriz$ "u section #fajc7;d7 ( ! ,int]nal ,rev5ue ,code ( #aihf1 reg>d+ id5tification numb]s issu$ to paid tax return prep>]s & return prep>] m9imum /&>ds4 7#b7 ,increas$ in=mation %>+ ,! /udy & report describ$ 9 p>agraph 7#a7 %all include an analysis ( ! impact t increas$ in=mation %>+ betwe5 ,f$]al & ,/ate au?orities w\ld h on ef=ts to en=ce m9imum /&>ds on paid tax return prep>]s4 #bjc4 ,misdirect$ tax refund deposits ,section #fdjb is am5d$ by add+ at ! end ! foll[+ new subsection3 7n7 ,misdirect$ direct deposit refund ,n lat] ?an ,janu>y #a1 #bjai1 ! ,secret>y %all prescribe regulations to e/abli% proc$ures to all[ =-- 7#a7 taxpay]s to report in/ances 9 :i* a refund made by ! ,secret>y by electronic funds transf] 0 errone\sly deliv]$ to an acc\nt at a f9ancial in/itution = :i* ! taxpay] is n ! own]2 7#b7 coord9ation ) f9ancial in/itutions = ! purpose (-- 7,a7 id5tify+ errone\s paym5ts describ$ 9 p>agraph 7#a72 & 7,b7 recov]y ( ! errone\sly transf]r$ am\nts2 & 7#c7 ! refund to be deliv]$ to ! correct acc\nt ( ! taxpay]4 4 ,,iii ,small ,bus9ess ,tax ,adm9i/ration & ,compliance #cja4 ,safe h>bor = employ] tip report+ 7a7 ,9 g5]al ,subsection 7q7 ( section #caba is am5d$-- 7#a7 by /rik+ ,= purposes ( ?is *apt] & ins]t+ ! foll[+3 7#a7 ,9 g5]al ,= purposes ( ?is *apt] 1 & 7#b7 by add+ at ! end ! foll[+3 7#b7 ,tip program safe h>bor ,9 ! case ( an employ] = :i* #a or m employees receive tips 9 ! c\rse ( _! employm5t :i* are consid]$ remun]ation = su* employm5t "u p>agraph 7#a71 ! ,secret>y %all n initiate a tip exam9ation 7z t t]m is us$ 9 ! model ,tip ,report+ ,alt]native ,commitm5t agreem5t promulgat$ by ! ,int]nal ,rev5ue ,s]vice7 ( ! employ] 7except 9 relation to a tip exam9ation ( #a or m employees or =m] employees ( su* employ]7 if su* employ] has demon/rat$ t x has-- 7,a7 e/abli%$ an educational program reg>d+ ! applicable laws relat+ to ! prop] report+ ( tips receiv$ by employees =-- 7i7 new employees1 :i* %all include bo? v]bal explanations & writt5 mat]ials2 & 7ii7 exi/+ employees1 :i* %all be conduct$ qu>t]ly2 7,b7 e/abli%$ proc$ures = employees :o receive tips to1 9 accordance ) section #fjec7;a71 provide mon?ly report+ ( _! ca% & *>g$ s]vices & any relat$ tips ( #bj or great]2 7,c7 compli$ ) any requirem5ts applicable to employ]s = purposes ( fil+ returns & collection & paym5t ( taxes impos$ ) respect to tips receiv$ by employees2 & 7,d7 ma9ta9$ employee records relat$ to-- 7i7 contact in=mation = su* employees2 & 7ii7 gross receipts f any s]vices subject to tipp+ & *>ge receipts = su* s]vices = a p]iod ( n less ?an #d cal5d> ye>s aft] ! cal5d> ye> to :i* su* records relate4 4 7b7 ,effective date ,! am5dm5ts made by ?is section %all apply to tips receiv$ = s]vices p]=m$ aft] ,decemb] #ca1 #bjah4 #cjb4 ,in=mation report+ ( income f c]ta9 r5tals ( space 9 ! beauty s]vice indu/ry 7a7 ,9 g5]al ,subp>t ,b ( "p ,,iii ( sub*apt] ,a ( *apt] #fa is am5d$ by ins]t+ aft] section #fjej,y ! foll[+ new section3 #fjej,z4 ,returns ) respect to income f c]ta9 r5tals ( space = beauty s]vices 7a7 ,9 g5]al ,any p]son :o1 9 connection ) its trade or bus9ess or r5tal activity1 receives r5tal income f #b or m individuals provid+ beauty s]vices 9 excess ( #fjj ea* = a cal5d> ye> = ! r5tal ( space to provide su* beauty s]vices to ?ird-p>ty patrons1 %all make a return ) respect to ea* su* individual1 at su* "t & 9 su* mann] z ! ,secret>y %all prescribe1 :i* %all include-- 7#a7 ! "n1 address1 & ,,t9 ( su* individual1 7#b7 ! total am\nt receiv$ f su* individual dur+ su* cal5d> ye>1 includ+ ! date & am\nt ( ea* paym5t1 & 7#c7 su* additional in=mation z ! ,secret>y may require4 7b7 ,/atem5ts ,to be furni%$ to p]sons ) respect to :om in=mation is requir$ ,to be furni%$ 7#a7 ,9 g5]al ,e p]son requir$ to make a return "u subsection 7a7 %all furni% to ea* individual ^: "n is requir$ to be set =? 9 su* return a writt5 /atem5t %[+-- 7,a7 ! "n1 address1 & phone numb] ( ! in=mation contact ( ! p]son requir$ to make su* return1 & 7,b7 ! aggregate am\nt ( paym5ts to ! p]son requir$ to be %[n on su* return4 7#b7 ,furni%+ ( in=mation ,! writt5 /atem5t requir$ "u p>agraph 7#a7 %all be furni%$ to ! individual on or be=e ,janu>y #ca ( ! ye> foll[+ ! cal5d> ye> = :i* ! return "u subsection 7a7 0 made4 7c7 ,regulations & guidance ,! ,secret>y may prescribe su* regulations & o!r guidance z may be appropriate or necess>y to c>ry out ! purposes ( ?is section1 includ+ rules to prev5t duplicative report+ ( transactions4 7d7 ,beauty s]vice ,= purposes ( ?is section1 ! t]m beauty s]vice means-- 7#a7 b>b]+ & hair c>e1 7#b7 nail c>e1 7#c7 e/hetics1 & 7#d7 body & spa treatm5ts4 4 7b7 ,con=m+ am5dm5ts 7#a7 ,section #fgbd7;d77#a77;,b7 is am5d$ by /rik+ or at ! end ( clause 7xxv71 by /rik+ & at ! end ( clause 7xxvi7 & ins]t+ or1 & by ins]t+ aft] clause 7xxvi7 ! foll[+ new clause3 7xvii7 section #fjej,x7a7 7relat+ to in=mation report+ ) respect to r5tals ( space = beauty s]vices71 & 4 7#b7 ,p>agraph 7#b7 ( section #fgbd7;d7 is am5d$-- 7,a7 by /rik+ or at ! end ( subp>agraph 7,,ii71 7,b7 by /rik+ ! p]iod at ! end ( ! fir/ subp>agraph 7,,jj7 & ins]t+ a comma1 7,c7 by r$esignat+ ! second subp>agraph 7,,jj7 z subp>agraph 7,,kk71 7,d7 9 subp>agraph 7,,kk71 z r$esignat$ by subp>agraph 7,c71 by /rik+ ! p]iod at ! end & ins]t+ 1 or1 & 7,e7 by ins]t+ aft] subp>agraph 7,,kk7 ! foll[+ new subp>agraph3 7,,ll7 section #fjej,z7b77#a7 7relat+ to /atem5ts to provid]s ( beauty s]vices74 4 7#c7 ,! table ( sections = subp>t ,b ( "p ,,iii ( sub*apt] ,a ( *apt] #fa is am5d$ by add+ aft] ! item relat+ to section #fjej,y ! foll[+ new item3 ,sec4 #fjej,z4 ,returns ) respect to income f c]ta9 r5tals ( space = beauty s]vices4 4 7c7 ,effective date ,! am5dm5ts made by ?is section %all apply to cal5d> ye>s aft] #bjah4 #cjc4 ,release ( ,f$]al tax levies :i* cause bus9ess h>d%ip 7a7 ,9 g5]al ,subp>agraph 7,d7 ( section #fcdc7;a77#a7 is am5d$ by ins]t+ or any trade or bus9ess ( ! taxpay] be=e 1 or4 7b7 ,crit]ia = det]m9+ bus9ess h>d%ip ,subsection 7a7 ( section #fcdc is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#d7 ,crit]ia = det]m9+ bus9ess h>d%ip ,= purposes ( mak+ a det]m9ation "u p>agraph 7#a77;,d71 ) respect to a trade or bus9ess ( ! taxpay]1 ! ,secret>y %all take into consid]ation-- 7,a7 ! economic viability ( su* trade or bus9ess1 7,b7 ! nature & ext5t ( ! h>d%ip1 includ+ ! ext5t to :i* ! taxpay] ex]cis$ ord9>y bus9ess c>e & prud5ce1 & 7,c7 any h>d%ips :i* w\ld be caus$ to o!r individuals or bus9esses if su* trade or bus9ess 7 liquidat$4 4 7c7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! date ( ! enactm5t ( ?is ,act4 #cjd4 ,ext5sion ( "t = mak+ ,s corporation elections 7a7 ,9 g5]al ,subsection 7b7 ( section #acfb is am5d$ to read z foll[s3 7b7 ,:5 made 7#a7 ,9 g5]al ,an election "u subsection 7a7 may be made by a small bus9ess corporation = any taxable ye> n lat] ?an ! due date = fil+ ! return ( ! ,s corporation = su* taxable ye> 7includ+ ext5sions74 7#b7 ,c]ta9 elections treat$ z made = next taxable ye> ,if-- 7,a7 an election "u subsection 7a7 is made = any taxable ye> )9 ! p]iod describ$ 9 p>agraph 7#a71 b 7,b7 ei!r-- 7i7 on #a or m days 9 su* taxable ye> & be=e ! day on :i* ! election 0 made ! corporation did n meet ! requirem5ts ( subsection 7b7 ( section #acfa1 or 7ii7 #a or m ( ! p]sons :o held /ock 9 ! corporation dur+ su* taxable ye> & be=e ! election 0 made did n cons5t to ! election1 !n su* election %all be treat$ z made = ! foll[+ taxable ye>4 7#c7 ,au?ority to treat late elections1 etc41 z timely ,if-- 7,a7 an election "u subsection 7a7 is made = any taxable ye> aft] ! date prescrib$ by ?is subsection = mak+ su* election = su* taxable ye> or no su* election is made = any taxable ye>1 & 7,b7 ! ,secret>y det]m9es t !re 0 reasonable cause = ! failure to timely make su* election1 ! ,secret>y may treat su* an election z timely made = su* taxable ye>4 7#d7 ,election on timely fil$ returns ,except z o!rwise provid$ by ! ,secret>y1 an election "u subsection 7a7 = any taxable ye> may be made on a timely fil$ return ( ! ,s corporation = su* taxable ye>4 7#e7 ,secret>ial au?ority ,! ,secret>y may prescribe su* regulations1 rules1 or o!r guidance z may be necess>y or appropriate = purposes ( apply+ ?is subsection4 4 7b7 ,coord9ation ) c]ta9 o!r provisions 7#a7 ,qualifi$ sub*apt] ,s subsidi>ies ,section #acfa7;b77#c77;,b7 is am5d$ by add+ at ! end ! foll[+ flu% s5t5ce3 ,rules simil> to ! rules ( section #acfb7;b7 %all apply ) respect to any election "u clause 7ii74 4 7#b7 ,qualifi$ sub*apt] ,s tru/s ,section #acfa7;d77#b7 is am5d$ by /rik+ subp>agraph 7,d74 7c7 ,revocations ,p>agraph 7#a7 ( section #acfb7;d7 is am5d$-- 7#a7 by /rik+ subp>agraph 7,d7 9 subp>agraph 7,c7 & ins]t+ subp>agraphs 7,d7 & 7,e71 & 7#b7 by add+ at ! end ! foll[+ new subp>agraph3 7,e7 ,au?ority to treat late revocations z timely ,if-- 7i7 a revocation "u subp>agraph 7,a7 is made = any taxable ye> aft] ! date prescrib$ by ?is p>agraph = mak+ su* revocation = su* taxable ye> or no su* revocation is made = any taxable ye>1 & 7ii7 ! ,secret>y det]m9es t !re 0 reasonable cause = ! failure to timely make su* revocation1 ! ,secret>y may treat su* a revocation z timely made = su* taxable ye>4 4 7d7 ,effective date 7#a7 ,9 g5]al ,except z o!rwise provid$ 9 ?is subsection1 ! am5dm5ts made by ?is section %all apply to elections = taxable ye>s beg9n+ aft] ,decemb] #ca1 #bjah4 7#b7 ,revocations ,! am5dm5ts made by subsection 7c7 %all apply to revocations aft] ,decemb] #ca1 #bjah4 #cje4 ,qu>t]ly report+ ( e/imat$ tax paym5ts 7a7 ,9 g5]al ,! table conta9$ 9 p>agraph 7#b7 ( section #ffed7;c7 is am5d$-- 7#a7 by /rik+ ,june #ae & ins]t+ ,july #ae1 & 7#b7 by /rik+ ,septemb] #ae & ins]t+ ,octob] #ae4 7b7 ,effective date ,! am5dm5ts made by ?is section %all apply to in/allm5ts due 9 taxable ye>s beg9n+ aft] ,decemb] #ca1 #bjah4 ,,iv ,retirem5t plans & sav+s #dja4 ,expansion ( employee plans compliance resolution sy/em 7a7 ,9 g5]al ,except z o!rwise provid$ 9 regulations prescrib$ by ! ,secret>y ( ! ,treasury or ! ,secret>y's delegate 7ref]r$ to 9 ?is section z ! ,secret>y71 any inadv]t5t failure to comply ) ! rules applicable "u section #dja7;a71 #djc7;a71 #djc7;b71 #djh7p71 or #djh7k7 ( ! ,int]nal ,rev5ue ,code ( #aihf may be self-correct$ "u ! ,employee ,plans ,compliance ,resolution ,sy/em 7z describ$ 9 ,rev5ue ,proc$ure #bjaf-ea or any successor guidance71 except to ! ext5t t su* failure 0 id5tifi$ by ,secret>y prior to any actions t demon/rate a commitm5t to implem5t a self-correction4 7b7 ,loan error ,! ,secret>y ( ,labor %all treat any loan error correct$ pursuant to subsection 7a7 z meet+ ! requirem5ts ( ! ,volunt>y ,fiduci>y ,correction ,program ( ! ,dep>tm5t ( ,labor4 7c7 ,,epcrs = ,i,r,as ,! ,secret>y %all exp& ! ,employee ,plans ,compliance ,resolution ,sy/em to all[ cu/odians ( individual retirem5t plans to address inadv]t5t errors = :i* ! own] ( an individual retirem5t plan 0 n at fault1 includ+ 7b n limit$ to7-- 7#a7 waiv]s ( ! excise tax t w\ld o!rwise apply "u section #digd ( ! ,int]nal ,rev5ue ,code ( #aihf2 7#b7 "u ! self-correction compon5t ( ! ,employee ,plans ,compliance ,resolution ,sy/em1 waiv]s ( ! #fj-;day deadl9e = a rollov] :]e ! deadl9e is miss$ = reasons beyond ! reasonable control ( ! acc\nt own]2 & 7#c7 rules p]mitt+ a nonsp\se b5efici>y to return di/ributions to an inh]it$ individual retirem5t plan describ$ 9 section #djh7;d77#c77;,c7 ( ! ,int]nal ,rev5ue ,code ( #aihf 9 a case :]e1 due to an inadv]t5t error by a s]vice provid]1 ! b5efici>y _h reason to believe t ! di/ribution c\ld be roll$ ov] )\t inclusion 9 income ( any "p ( ! di/ribut$ am\nt4 7d7 ,requir$ m9imum di/ribution corrections ,! ,secret>y %all exp& ! ,employee ,plans ,compliance ,resolution ,sy/em to all[ plans to :i* su* sy/em applies & cu/odians ( individual retirem5t plans to self-correct1 )\t an excise tax1 any inadv]t5t errors pursuant to :i* a di/ribution is made no m ?an #ahj days aft] x 0 requir$ to be made4 7e7 ,additional safe h>bors ,! ,secret>y %all exp& ! ,employee ,plans ,compliance ,resolution ,sy/em 7z describ$ 9 ,rev5ue ,proc$ure #bjaf-ea or any successor guidance7 to provide additional safe h>bor means ( correct+ inadv]t5t failures describ$ 9 subsection 7a71 includ+ safe h>bor means ( calculat+ ! e>n+s t mu/ be re/or$ to a plan 9 cases :]e plan assets h be5 deplet$ by reason ( an inadv]t5t failure4 ,v ,assi/ance = l[-income taxpay]s #eja4 ,e/abli%m5t ( income ?re%old = ref]ral to private debt collection 7a7 ,9 g5]al ,section #fcjf7;d77#c7 is am5d$ by /rik+ or at ! end ( subp>agraph 7,c71 by add+ or at ! end ( subp>agraph 7,d71 & by ins]t+ aft] subp>agraph 7,d7 ! foll[+ new subp>agraph3 7,e7 9 ! case ( a tax receivable :i* is id5tifi$ by ! ,secret>y 7or ! ,secret>y's delegate7 dur+ ! p]iod beg9n+ on ! date :i* is #ahj days aft] ! date ( ! enactm5t ( ?is ,act & end+ on ,decemb] #ca1 #bjai1 a taxpay] :o is an individual ) adju/$ gross income1 z det]m9$ = ! mo/ rec5t taxable ye> = :i* su* in=mation is available1 :i* does n exce$ #bej p]c5t ( ! applicable pov]ty level 7z det]m9$ by ! ,secret>y71 4 7b7 ,effective date ,! am5dm5ts made by ?is section %all apply to tax receivables id5tifi$ by ! ,secret>y ( ! ,treasury 7or ! ,secret>y's delegate7 aft] ! date :i* is #ahj days aft] ! date ( ! enactm5t ( ?is ,act4 #ejb4 ,return prep>ation programs = applicable taxpay]s 7a7 ,9 g5]al ,*apt] #gg is am5d$ by ins]t+ aft] section #gebf ! foll[+ new section3 #gebf;,a4 ,return prep>ation programs = applicable taxpay]s 7a7 ,e/abli%m5t ( ,volunte] ,income ,tax ,assi/ance ,mat*+ ,grant ,program ,! ,secret>y %all e/abli% a ,community ,volunte] ,income ,tax ,assi/ance ,mat*+ ,grant ,program "u :i* ! ,secret>y may1 subject to ! availability ( appropriat$ funds1 make grants to provide mat*+ funds = ! developm5t1 expansion1 or cont9uation ( qualifi$ return prep>ation programs assi/+ applicable taxpay]s & memb]s ( und]s]v$ populations4 7b7 ,use ( funds 7#a7 ,9 g5]al ,qualifi$ return prep>ation programs may use grants receiv$ "u ?is section =-- 7,a7 ord9>y & necess>y co/s associat$ ) program op]ation 9 accordance ) co/ pr9ciples "u ! applicable ,(fice ( ,managem5t & ,budget circul>1 includ+-- 7i7 wages or sal>ies ( p]sons coord9at+ ! activities ( ! program1 7ii7 develop+ tra9+ mat]ials1 conduct+ tra9+1 & p]=m+ quality reviews ( ! returns prep>$ "u ! program1 7iii7 equipm5t pur*ases1 & 7iv7 vehicle-relat$ exp5ses associat$ ) remote or rural tax prep>ation s]vices1 7,b7 outrea* & educational activities describ$ 9 subsection 7c77#b77;,b71 & 7,c7 s]vices relat$ to f9ancial education & capability1 asset developm5t1 & ! e/abli%m5t ( sav+s acc\nts 9 connection ) tax return prep>ation4 7#b7 ,requirem5t ( mat*+ funds ,a qualifi$ return prep>ation program mu/ provide mat*+ funds on a doll>-=-doll> basis = all grants provid$ "u ?is section4 ,mat*+ funds may include-- 7,a7 ! sal>y 7includ+ fr+e b5efits7 ( individuals p]=m+ s]vices = ! program1 7,b7 ! co/ ( equipm5t us$ 9 ! program1 & 7,c7 o!r ord9>y & necess>y co/s associat$ ) ! program4 ,indirect exp5ses1 includ+ g5]al ov]head ( any entity adm9i/]+ ! program1 %all n be c\nt$ z mat*+ funds4 7c7 ,application 7#a7 ,9 g5]al ,ea* applicant = a grant "u ?is section %all submit an application to ! ,secret>y at su* "t1 9 su* mann]1 & conta9+ su* in=mation z ! ,secret>y may reasonably require4 7#b7 ,priority ,9 aw>d+ grants "u ?is section1 ! ,secret>y %all give priority to applications :i* demon/rate-- 7,a7 assi/ance to applicable taxpay]s1 ) emphasis on outrea* to1 & s]vices =1 su* taxpay]s1 7,b7 taxpay] outrea* & educational activities relat+ to eligibility & availability ( income supports available ?r\gh ?is title1 includ+ ! e>n$ income tax cr$it1 & 7,c7 specific outrea* & focus on "o or m und]s]v$ populations4 7#c7 ,am\nts tak5 into acc\nt ,9 det]m9+ mat*+ grants "u ?is section1 ! ,secret>y %all only take into acc\nt am\nts provid$ by ! qualifi$ return prep>ation program = exp5ses describ$ 9 subsection 7b74 7d7 ,program adh]5ce 7#a7 ,9 g5]al ,! ,secret>y %all e/abli% proc$ures =1 & %all conduct n less frequ5tly ?an once e #e cal5d> ye>s dur+ :i* a qualifi$ return prep>ation program is op]at+ "u a grant "u ?is section1 p]iodic site visits-- 7,a7 to ensure ! program is c>ry+ out ! purposes ( ?is section1 & 7,b7 to det]m9e :e!r ! program meets su* program adh]5ce /&>ds z ! ,secret>y %all by regulation or o!r guidance prescribe4 7#b7 ,additional requirem5ts = grant recipi5ts n meet+ program adh]5ce /&>ds ,9 ! case ( any qualifi$ return prep>ation program :i*-- 7,a7 is aw>d$ a grant "u ?is section1 & 7,b7 is subsequ5tly det]m9$-- 7i7 n to meet ! program adh]5ce /&>ds describ$ 9 p>agraph 7#a77;,b71 or 7ii7 n to be o!rwise c>ry+ out ! purposes ( ?is section1 su* program %all n be eligible = any additional grants "u ?is section unless su* program provides suffici5t docum5tation ( corrective measures e/abli%$ to address any su* defici5cies det]m9$4 7e7 ,def9itions ,= purposes ( ?is section-- 7#a7 ,qualifi$ return prep>ation program ,! t]m qualifi$ return prep>ation program means any program-- 7,a7 :i* provides assi/ance to individuals1 n less ?an #ij p]c5t ( :om are applicable taxpay]s1 9 prep>+ & fil+ ,f$]al income tax returns1 7,b7 :i* is adm9i/]$ by a qualifi$ entity1 7,c7 9 :i* all volunte]s :o assi/ 9 ! prep>ation ( ,f$]al income tax returns meet ! tra9+ requirem5ts prescrib$ by ! ,secret>y1 & 7,d7 :i* uses a quality review process :i* reviews #ajj p]c5t ( all returns4 7#b7 ,qualifi$ entity 7,a7 ,9 g5]al ,! t]m qualifi$ entity means any entity :i*-- 7i7 is an eligible organization1 7ii7 is 9 compliance ) ,f$]al tax fil+ & paym5t requirem5ts1 7iii7 is n deb>r$ or susp5d$ f ,f$]al contracts1 grants1 or coop]ative agreem5ts1 & 7iv7 agrees to provide docum5tation to sub/antiate any mat*+ funds provid$ pursuant to ! grant program "u ?is section4 7,b7 ,eligible organization ,! t]m eligible organization means-- 7i7 an in/itution ( high] education :i* is describ$ 9 section #ajb 7o!r ?an subsection 7a77#a77;,c7 !re(7 ( ! ,high] ,education ,act ( #aife 7#bj ,u4,s4,c4 #ajjb71 z 9 effect on ! date ( ! enactm5t ( ?is section1 & :i* has n be5 disqualifi$ f p>ticipat+ 9 a program "u title ,,iv ( su* ,act1 7ii7 an organization describ$ 9 section #eja7;c7 & exempt f tax "u section #eja7;a71 7iii7 a local gov]nm5t ag5cy1 includ+-- 7,i7 a c\nty or municipal gov]nm5t ag5cy1 & 7,,ii7 an ,indian tribe1 z def9$ 9 section #d7ac7 ( ! ,native ,am]ican ,h\s+ ,assi/ance & ,self-,det]m9ation ,act ( #aiif 7#be ,u4,s4,c4 #dajc7ac771 includ+ any tribally designat$ h\s+ entity 7z def9$ 9 section #d7bb7 ( su* ,act 7#be ,u4,s4,c4 #dajc7bb7771 tribal subsidi>y1 subdivision1 or o!r :olly own$ tribal entity1 7iv7 a local1 ,/ate1 regional1 or national coalition 7) "o lead organization :i* meets ! eligibility requirem5ts ( clause 7i71 7ii71 or 7iii7 act+ z ! applicant organization71 or 7v7 9 ! case ( applicable taxpay]s & memb]s ( und]s]v$ populations ) respect to :i* no organizations describ$ 9 ! prec$+ clauses are available-- 7,i7 a ,/ate gov]nm5t ag5cy1 or 7,,ii7 an (fice provid+ ,coop]ative ,ext5sion s]vices 7z e/abli%$ at ! l&-grant colleges & univ]sities "u ! ,smi?-,lev] ,act ( ,may #h1 #aiad74 7#c7 ,applicable taxpay]s ,! t]m applicable taxpay] means a taxpay] ^: income = ! taxable ye> does n exce$ an am\nt equal to ! complet$ phase\t am\nt "u section #cb7;b7 = a m>ri$ c\ple fil+ a jo9t return ) #c or m qualify+ *ildr51 z det]m9$ 9 a rev5ue proc$ure or o!r publi%$ guidance4 7#d7 ,und]s]v$ population ,! t]m und]s]v$ population includes populations ( p]sons ) disabilities1 p]sons ) limit$ ,engli% pr(ici5cy1 ,native ,am]icans1 individuals liv+ 9 rural areas1 memb]s ( ! ,arm$ ,=ces & _! sp\ses1 & ! eld]ly4 7f7 ,special rules & limitations 7#a7 ,duration ( grants ,^u application ( a qualifi$ return prep>ation program1 ! ,secret>y is au?oriz$ to aw>d a multi-ye> grant n to exce$ #c ye>s4 7#b7 ,aggregate limitation ,unless o!rwise provid$ by specific appropriation1 ! ,secret>y %all n allocate m ?an #cj1jjj1jjj p] fiscal ye> 7exclusive ( co/s ( adm9i/]+ ! program7 to grants "u ?is section4 7g7 ,promotion ( programs 7#a7 ,9 g5]al ,! ,secret>y %all promote tax prep>ation ?r\gh qualifi$ return prep>ation programs ?r\gh ! use ( mass communications & o!r means4 7#b7 ,provision ( in=mation reg>d+ qualifi$ return prep>ation programs ,! ,secret>y may provide taxpay]s in=mation reg>d+ qualifi$ return prep>ation programs receiv+ grants "u ?is section4 7#c7 ,,vita grantee ref]ral ,qualifi$ return prep>ation programs receiv+ a grant "u ?is section are enc\rag$1 9 appropriate cases1 to-- 7,a7 advise taxpay]s ( ! availability (1 & eligibility requirem5ts = receiv+1 advice & assi/ance f qualifi$ l[-income taxpay] cl9ics receiv+ fund+ "u section #gebf1 & 7,b7 provide in=mation reg>d+ ! location (1 & contact in=mation =1 su* cl9ics4 4 7b7 ,cl]ical am5dm5t ,! table ( sections = *apt] #gg is am5d$ by ins]t+ aft] ! item relat+ to section #gebf ! foll[+ new item3 ,sec4 #gebf;,a4 ,return prep>ation programs = applicable taxpay]s4 4 #ejc4 ,l[-income taxpay] cl9ics 7a7 ,promotion ( cl9ics ,section #gebf is am5d$ by add+ at ! end ! foll[+ new subsection3 7d7 ,promotion ( cl9ics ,! ,secret>y is au?oriz$ to promote ! b5efits ( & enc\rage ! use ( qualifi$ l[-income taxpay] cl9ics ?r\gh ! use ( mass communications1 ref]rals1 & o!r means4 4 7b7 ,,irs ref]rals to cl9ics ,subsection 7c7 ( section #gebf is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#f7 ,,irs ref]rals ,not)/&+ any o!r provision ( law1 ! ,secret>y may ref] taxpay]s to specific qualifi$ l[-income taxpay] cl9ics receiv+ fund+ "u ?is section4 4 7c7 ,effective date ,! am5dm5ts made by ?is section %all take effect on ! date ( ! enactm5t ( ?is ,act4 #ejd4 ,l[-income exception = paym5ts o!rwise requir$ 9 connection ) a submission ( an (f]-9-compromise 7a7 ,9 g5]al ,section #gabb7;c7 is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#c7 ,exception = l[-income taxpay]s ,p>agraph 7#a71 & any us] fee o!rwise requir$ 9 connection ) ! submission ( an (f]-9-compromise1 %all n apply to any (f]-9-compromise ) respect to a taxpay] :o is an individual ) adju/$ gross income1 z det]m9$ = ! mo/ rec5t taxable ye> = :i* su* in=mation is available1 :i* does n exce$ #bej p]c5t ( ! applicable pov]ty level 7z det]m9$ by ! ,secret>y74 4 7b7 ,effective date ,! am5dm5t made by ?is section %all apply to (f]s-9-compromise submitt$ aft] ! date ( ! enactm5t ( ?is ,act4 ,,vi ,appeals ,process #fja4 ,"r to indep5d5t conf]5ce 7a7 ,9 g5]al ,section #ajja ( ! ,int]nal ,rev5ue ,s]vice ,re/ructur+ & ,re=m ,act ( #aiih is am5d$ by r$esignat+ subsection 7c7 z subsection 7d7 & by ins]t+ aft] subsection 7b7 ! foll[+ new subsection3 7c7 ,"r to indep5d5t conf]5ce ,"u ! organization plan ( ! ,int]nal ,rev5ue ,s]vice1 a taxpay] %all h ! "r to a conf]5ce ) ! ,int]nal ,rev5ue ,s]vice ,(fice ( ,appeals :i* does n include p]sonnel f ! ,(fice ( ,*ief ,c\nsel = ! ,int]nal ,rev5ue ,s]vice or ! compliance functions ( ! ,int]nal ,rev5ue ,s]vice unless ! taxpay] specifically cons5ts to ! p>ticipation ( su* p]sonnel4 4 7b7 ,effective date ,?is section %all apply to conf]5ces occurr+ aft] ! date ( ! enactm5t ( ?is ,act4 #fjb4 ,access to case files 7a7 ,9 g5]al ,9 ! case ( any specifi$ taxpay] ) respect to :i* a conf]5ce ) ! ,int]nal ,rev5ue ,s]vice ,(fice ( ,appeals has be5 s*$ul$1 ! taxpay] %all be provid$ access to ! nonprivileg$ portions ( ! case file on record reg>d+ ! disput$ issues 7o!r ?an docum5ts provid$ by ! taxpay] to ! ,int]nal ,rev5ue ,s]vice7 n lat] ?an #aj days be=e ! date ( su* conf]5ce4 7b7 ,taxpay] election ,to exp$ite conf]5ce ,if ! taxpay] s elects1 subsection 7a7 %all be appli$ by sub/itut+ ! date ( su* conf]5ce = #aj days be=e ! date ( su* conf]5ce4 7c7 ,specifi$ taxpay] ,= purposes ( ?is section3 7#a7 ,9 g5]al ,! t]m specifi$ taxpay] means-- 7,a7 9 ! case ( any taxpay] :o is a natural p]son1 a taxpay] ^: adju/$ gross income does n exce$ #djj1jjj1 & 7,b7 9 ! case ( any o!r taxpay]1 a taxpay] ^: gross receipts d n exce$ #e1jjj1jjj4 7#b7 ,aggregation rule ,rules simil> to ! rules ( section #ddh7;c77#b7 ( ! ,int]nal ,rev5ue ,code ( #aihf %all apply = purposes ( p>agraph 7#a77;,b74 7d7 ,effective date ,?is section %all apply to conf]5ces occurr+ aft] ! date :i* is #a ye> aft] ! date ( ! enactm5t ( ?is ,act4 #fjc4 ,ensur+ taxpay] "r to appeal 7a7 ,9 g5]al ,subsection 7a7 ( section #fbab is am5d$-- 7#a7 by /rik+ ,9 g5]al4--,if ! ,secret>y & ins]t+ ,9 g5]al4-- 7#a7 ,au?orization ,if-- 7,a7 ! ,secret>y 1 7#b7 by /rik+ #dd1 he is au?oriz$ & ins]t+ #dd1 & 7,b7 ! requirem5ts ( p>agraph 7#b7 h be5 met ) respect to su* defici5cy1 ! ,secret>y is au?oriz$ 1 & 7#c7 by add+ at ! end ! foll[+ new p>agraph3 7#b7 ,opportunity = adm9i/rative review 9 ! ,(fice ( ,appeals 7,a7 ,9 g5]al ,! requirem5ts ( ?is p>agraph are met ) respect to a defici5cy if1 prior to ! issuance ( ! notice ( defici5cy "u p>agraph 7#a7-- 7i7 ! taxpay] has be5 issu$ a lett] ( propos$ defici5cy t expla9s ! basis = ! det]m9ation ( defici5cy & all[s ! taxpay] an opportunity = adm9i/rative review 9 ! ,int]nal ,rev5ue ,s]vice ,(fice ( ,appeals1 & 7ii7 ei!r-- 7,i7 ! "t provid$ 9 su* lett] = contact+ ! ,(fice ( ,appeals has expir$ & ! taxpay] has n s contact$ su* ,(fice1 or 7,,ii7 ! ,(fice ( ,appeals has issu$ a decision ) respect to su* defici5cy4 7,b7 ,frivol\s tax positions ,! ,secret>y is au?oriz$ to issue regulations limit+ ! application ( subp>agraph 7,a7 9 cases involv+ solely ! failure or refusal to comply ) ! tax laws because ( moral1 religi\s1 political1 con/itutional1 consci5ti\s1 or simil> gr\nds1 or = o!r positions li/$ z frivol\s "u section #fgjb7;c74 7,c7 ,cases designat$ = litigation ,subp>agraph 7,a7 %all n apply 9 ! case ( issues designat$ = litigation 9 accordance ) section #gabd4 4 7b7 ,opportunity = appeal if few] ?an #fj days rema9 on /atute ( limitations ,section #fbab is am5d$ by add+ at ! end ! foll[+ new subsection3 7e7 ,opportunity = appeal if few] ?an #fj days rema9 on /atute ( limitations ,9 ! case ( any issues relat+ to a pot5tial defici5cy ) respect to :i* #fj days or few] rema9 9 ! p]iod applicable "u section #feja1 if ! taxpay] agrees to ! ext5sion ( su* p]iod by #ab mon?s1 ! ,secret>y %all issue a lett] ( propos$ defici5cy describ$ 9 subsection 7a77#b77;,a77i7 all[+ ! taxpay] an opportunity = adm9i/rative review ( su* issues 9 ! ,int]nal ,rev5ue ,s]vice ,(fice ( ,appeals be=e a notice ( defici5cy is issu$ "u ?is section4 ,rules simil> to ! rules ( subsection 7a77#b77;,b7 %all apply = purposes ( ?is subsection4 4 7c7 ,effective date ,! am5dm5ts made by ?is section %all apply to notices ( defici5cy issu$ aft] ! date ( ! enactm5t ( ?is ,act4 #fjd4 ,limitation on designation ( cases z n eligible = ref]ral to ,indep5d5t ,(fice ( ,appeals 7a7 ,9 g5]al ,if any taxpay] :i* is 9 receipt ( notice ( defici5cy au?oriz$ "u section #fbab ( ! ,int]nal ,rev5ue ,code ( #aihf reque/s ref]ral to ! ,int]nal ,rev5ue ,s]vice ,(fice ( ,appeals & su* reque/ is d5i$1 ! ,commission] ( ,int]nal ,rev5ue %all provide su* taxpay] a writt5 notice :i*-- 7#a7 provides a detail$ description ( ! facts involv$1 ! basis = ! decision to d5y ! reque/1 & a detail$ explanation ( h[ ! basis ( su* decision applies to su* facts1 & 7#b7 describes ! proc$ures proscrib$ "u subsection 7c7 = prote/+ ! decision to d5y ! reque/4 7b7 ,report to ,congress ,! ,commission] ( ,int]nal ,rev5ue %all submit a writt5 report to ,congress on an annual basis :i* includes ! numb] ( reque/s describ$ 9 subsection 7a7 :i* 7 d5i$ & ! reasons 7describ$ by category7 t su* reque/s 7 d5i$4 7c7 ,proc$ures = prote/+ d5ial ( reque/ ,! ,commission] ( ,int]nal ,rev5ue %all prescribe proc$ures = prote/+ to ! ,commission] ( ,int]nal ,rev5ue 7p]sonally & n ?r\gh any delegate7 a d5ial ( a reque/ describ$ 9 subsection 7a74 7d7 ,n applicable to frivol\s positions ,?is section %all n apply to a reque/ = ref]ral to ! ,int]nal ,rev5ue ,s]vice ,(fice ( ,appeals :i* is d5i$ on ! basis t ! issue involv$ is a frivol\s position 7)9 ! mean+ ( section #fgjb7;c7 ( ! ,int]nal ,rev5ue ,code ( #aihf74 #fje4 ,proc$ures relat$ to ,secret>ial au?ority to designate cases = litigation 7a7 ,9 g5]al ,*apt] #gd is am5d$ by r$esignat+ section #gabd z section #gabe & by ins]t+ aft] section #gabc ! foll[+ new section3 #gabd4 ,proc$ures relat$ to ,secret>ial au?ority to designate cases = litigation 7a7 ,9 g5]al ,= any matt] :i* ! ,commission] ( ,int]nal ,rev5ue & ! ,*ief ,c\nsel = ! ,int]nal ,rev5ue ,s]vice h det]m9$ %all be designat$ = litigation1 su* det]m9ation %all be-- 7#a7 bas$ on a jo9t writt5 recomm5dation by ! ,commission] ( ! relevant op]at+ division ( ! ,int]nal ,rev5ue ,s]vice & ! ,division ,c\nsel = su* op]at+ division1 :i* %all include an explanation z to :y ! designation is pref]able to o!r means ( resolv+ ! matt]1 & 7#b7 made 9 consultation ) ! ,associate ,*ief ,c\nsel ) relevant subject matt] jurisdiction ov] su* matt]4 7b7 ,notification prior to recomm5dation ,prior to submission ( a recomm5dation describ$ 9 subsection 7a77#a71 ! ,division ,c\nsel = ! relevant op]at+ division ( ! ,int]nal ,rev5ue ,s]vice %all provide writt5 notification to ! taxpay] reg>d+ ! recomm5dation1 includ+-- 7#a7 a description ( ! issues recomm5d$ = designation & ! reasons = su* recomm5dation1 & 7#b7 notification t ! taxpay]'s views may be pres5t$ 9 writ+ or 9 p]son to ! ,division ,c\nsel & ! ,commission] ( ! relevant op]at+ division-- 7,a7 )9 #fj days ( su* notification1 or 7,b7 prior to su* o!r date z ! taxpay] & ! ,division ,c\nsel may agree4 7c7 ,notification aft] recomm5dation ,n lat] ?an #cj days aft] submission ( a recomm5dation describ$ 9 subsection 7a77#a71 ! ,division ,c\nsel = ! relevant op]at+ division ( ! ,int]nal ,rev5ue ,s]vice %all provide writt5 notification to ! taxpay] reg>d+ submission ( ! recomm5dation1 includ+ notification t ! taxpay]'s views may be pres5t$ 9 writ+ or 9 p]son to ! ,commission] ( ,int]nal ,rev5ue & ! ,*ief ,c\nsel = ! ,int]nal ,rev5ue ,s]vice-- 7#a7 )9 #fj days ( su* notification1 or 7#b7 prior to su* o!r date z ! taxpay]1 ! ,commission] ( ,int]nal ,rev5ue1 & ! ,*ief ,c\nsel = ! ,int]nal ,rev5ue ,s]vice may agree4 7d7 ,notice ( approval ( designation ,= any matt] :i* ! ,commission] ( ,int]nal ,rev5ue & ! ,*ief ,c\nsel = ! ,int]nal ,rev5ue ,s]vice h det]m9$ %all be designat$ = litigation-- 7#a7 ! ,division ,c\nsel = ! relevant op]at+ division ( ! ,int]nal ,rev5ue ,s]vice %all provide writt5 notification to ! taxpay] reg>d+ su* det]m9ation1 & 7#b7 ! jurisdiction ( ! ,int]nal ,rev5ue ,s]vice ,(fice ( ,appeals ov] su* matt] %all be limit$ solely to any issues n includ$ 9 su* designation4 7e7 ,resc9d+ ( designation ,! ,*ief ,c\nsel = ! ,int]nal ,rev5ue ,s]vice may resc9d any designation ( a matt] = litigation if ! ,*ief ,c\nsel det]m9es t cont9uation ( su* litigation does n s]ve ! purpose = :i* su* designation 0 orig9ally made4 4 7b7 ,cl]ical am5dm5t ,! table ( sections = *apt] #gd is am5d$ by /rik+ ! item relat+ to section #gabd & ins]t+ ! foll[+ new items3 ,sec4 #gabd4 ,proc$ures relat$ to ,secret>ial au?ority to designate cases = litigation4,sec4 #gabe4 ,cross ref]5ces4 4 7c7 ,effective date ,! am5dm5ts made by ?is section %all apply to ! designation ( issues = litigation occurr+ aft] ! date ( ! enactm5t ( ?is ,act4 ,,vii ,miscellane\s #gja4 ,modification ( au?ority to issue designat$ summons 7a7 ,9 g5]al ,p>agraph 7#a7 ( section #fejc7;j7 is am5d$ by /rik+ coord9at$ exam9ation program & ins]t+ coord9at$ indu/ry case program4 7b7 ,designat$ summons ,clause 7i7 ( section #fejc7;j77#b77;,a7 is am5d$ to read z foll[s3 7i7 ! issuance ( su* summons is prec$$ by a review & writt5 approval ( su* issuance by ! ,l>ge ,bus9ess & ,int]national ,division ,commission] & ! ,division ,c\nsel ( ! ,(fice ( ,*ief ,c\nsel 7or _! successors7-- 7,i7 :i* cle>ly e/abli%es t ! taxpay] did n reasonably coop]ate ) reasonable reque/s by ! ,secret>y = witnesses1 docum5ts1 meet+s1 & int]views1 & 7,,ii7 :i* is atta*$ to su* summons1 4 7c7 ,burd5 ( pro( ,subsection 7j7 ( section #fejc is am5d$ by add+ at ! end ! foll[+ new p>agraph3 7#d7 ,burd5 ( pro( ,9 any c\rt proce$+ describ$ 9 p>agraph 7#c71 ! ,secret>y %all be> ! burd5 ( prov+ t ! corporation describ$ 9 p>agraph 7#a7 did n reasonably coop]ate ) reasonable reque/s by ! ,secret>y = witnesses1 docum5ts1 meet+s1 & int]views4 4 7d7 ,effective date ,! am5dm5ts made by ?is section %all apply to summonses issu$ aft] ! date ( ! enactm5t ( ?is ,act4 #gjb4 ,/reaml9$ critical pay au?ority = in=mation te*nology positions 7a7 ,au?ority ,section #iejc7;a7 ( title #e1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 ! matt] prec$+ p>agraph 7#a71 by /rik+ ! ,secret>y ( ! ,treasury & all t foll[s ?r\gh e/abli% & ins]t+ ! ,secret>y ( ! ,treasury may1 dur+ ! p]iod beg9n+ on ,octob] #a1 #bjah1 & end+ on ,septemb] #cj1 #bjbc1 e/abli%1 & 7#b7 9 p>agraph 7#a77;,b71 by /rik+ ! ,int]nal ,rev5ue ,s]vice's successful accompli%m5t ( an important mission & ins]t+ ! functionality ( ! in=mation te*nology op]ations ( ! ,int]nal ,rev5ue ,s]vice4 7b7 ,recruitm5t1 ret5tion1 relocation inc5tives1 & relocation exp5ses ,section #iejd ( title #e1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 9 subsection 7a7-- 7,a7 by /rik+ ,be=e ,septemb] #cj1 #bjac & ins]t+ ,dur+ ! p]iod beg9n+ on ,octob] #a1 #bjah1 & end+ on ,septemb] #cj1 #bjbc1 & 7,b7 by ins]t+ = employees hold+ positions describ$ 9 section #iejc7;a77#a7 aft] inc5tives1 & 7#b7 9 subsection 7b7-- 7,a7 by /rik+ ,be=e ,septemb] #cj1 #bjac & ins]t+ ,dur+ ! p]iod beg9n+ on ,octob] #a1 #bjah1 & end+ on ,septemb] #cj1 #bjbc1 7,b7 by /rik+ employees transf]r$ or reemploy$ & ins]t+ employees hold+ positions describ$ 9 section #iejc7;a77#a7 :o are transf]r$ or reemploy$ dur+ su* p]iod1 & 7,c7 by /rik+ section #iejb or #iejc aft] ,june #a1 #aiih & ins]t+ section #iejc dur+ su* p]iod4 7c7 ,p]=mance aw>ds = s5ior executives ,section #ieje7;a7 ( title #e1 ,unit$ ,/ates ,code1 is am5d$-- 7#a7 by /rik+ ,be=e ,septemb] #cj1 #bjac & ins]t+ ,dur+ ! p]iod beg9n+ on ,octob] #a1 #bjah1 & end+ on ,septemb] #cj1 #bjbc1 & 7#b7 by /rik+ significant functions & ins]t+ ! in=mation te*nology op]ations4 7d7 ,effective date ,! am5dm5ts made by ?is section %all apply to paym5ts made on or aft] ! date ( ! enactm5t ( ?is ,act4 #gjc4 ,uni=m /&>ds = ! use ( electronic signatures = disclosure au?orizations to1 & o!r au?orizations (1 practition]s ,p>agraph 7#c7 ( section #fjfa7;b7 is am5d$ to read z foll[s3 7#c7 ,publi%$ guidance 7,a7 ,9 g5]al ,! ,secret>y %all publi% guidance z appropriate to def9e & implem5t any waiv] ( ! signature requirem5ts or any me?od adopt$ "u p>agraph 7#a74 7,b7 ,electronic signatures = disclosure au?orizations to1 & o!r au?orizations (1 practition]s ,n lat] ?an #f mon?s aft] ! date ( ! enactm5t ( ?is subp>agraph1 ! ,secret>y %all publi% guidance to e/abli% uni=m /&>ds & proc$ures = ! acceptance ( taxpay]s' signatures appe>+ 9 comm]cially provid$ electronic =m ) respect to any reque/ = disclosure ( a taxpay]'s return or return in=mation "u section #fajc7;c7 to a practition] or any p[] ( attorney grant$ by a taxpay] to a practition]4 7,c7 ,practition] ,= purposes ( subp>agraph 7,b71 ! t]m practition] means any individual 9 good /&+ :o is regulat$ "u section #ccj ( title #ca1 ,unit$ ,/ates ,code4 4 #gjd4 ,limitation on access ( non-,int]nal ,rev5ue ,s]vice employees to returns & return in=mation 7a7 ,9 g5]al ,section #gfjb is am5d$ by add+ at ! end ! foll[+ new subsection3 7f7 ,limitation on access ( p]sons o!r ?an ,int]nal ,rev5ue ,s]vice (fic]s & employees ,! ,secret>y %all n1 "u ! au?ority ( section #fajc7n71 provide any books1 pap]s1 records1 or o!r data obta9$ pursuant to ?is section to any p]son au?oriz$ "u section #fajc7n71 except :5 su* p]son requires su* in=mation = ! sole purpose ( provid+ exp]t evaluation & assi/ance to ! ,int]nal ,rev5ue ,s]vice4 ,no p]son o!r ?an an (fic] or employee ( ! ,int]nal ,rev5ue ,s]vice or ! ,(fice ( ,*ief ,c\nsel may1 on behalf ( ! ,secret>y1 "q a witness "u oa? ^: te/imony 0 obta9$ pursuant to ?is section4 4 7b7 ,effective date 7#a7 ,9 g5]al ,except z provid$ 9 p>agraph 7#b71 ! am5dm5t made by ?is section %all take effect on ! date ( ! enactm5t ( ?is ,act4 7#b7 ,application to contracts 9 effect ,! am5dm5t made by ?is section %all apply to any contract 9 effect "u section #fajc7n7 ( ! ,int]nal ,rev5ue ,code ( #aihf1 pursuant to tempor>y ,treasury ,regulation section #cja4gfjb-a,t propos$ 9 ,int]nal ,rev5ue ,bullet9 #bjad-bh1 ,treasury ,regulation section #cja4gfjb-a7;b77#c71 or any simil> or successor regulation1 t is 9 effect on ! date ( ! enactm5t ( ?is ,act4