,,ii #aaith ,,congress #b;d ,session ,s4 #eagc ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,july #cj1 #bjbf,mr4 ,whitehouse 7for himself and ,mr4 ,cassidy7 introduced the following bill2 which was read twice and referred to the ,committee on ,finance ,a ,,bill ,to amend the ,internal ,revenue ,code of #aihf to treat tax penalties as assessable in the same manner as taxes1 to provide notice requirements for certain penalties1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,fairness in ,foreign ,filing ,act4 #b4 ,treatment of tax penalties 7a7 ,treatment of penalties as taxes ,section #ffga7;a7 of the ,internal ,revenue ,code of #aihf is amended-- 7#a7 by striking ,the penalties and liabilities provided by this subchapter and inserting the following3 7#a7 ,in general ,any penalties provided by this title1 including the penalties and liabilities provided by this subchapter1 1 7#b7 by striking the penalties and liabilities provided by this subchapter4 and inserting the penalties provided by this title1 including the penalties and liabilities provided by this subchapter41 and 7#c7 by adding at the end the following new paragraph3 7#b7 ,exception ,paragraph 7#a7 shall not apply to any penalty not provided by this subchapter if such penalty is a penalty for which a civil or criminal action is prescribed as the method of collection or has been consistently treated by the ,secretary before the date of the enactment of this paragraph as such a penalty4 4 7b7 ,notice requirement for certain penalties 7#a7 ,in general ,subchapter ,c of chapter #fh of the ,internal ,revenue ,code of #aihf is amended by adding at the end the following new section3 #fgeb4 ,preliminary notice and right of review for covered penalties 7a7 ,notice 7#a7 ,in general ,no covered penalty shall be assessed unless the ,secretary provides a notice to the taxpayer in writing by mail to an address as determined under section #fbab7;b7 that contains the following information3 7,a7 ,the covered penalty proposed to be assessed4 7,b7 ,the taxable years or periods involved4 7,c7 ,the basis for the proposed penalty4 7,d7 ,information about the right of the taxpayer to request review as provided in subsection 7b74 7#b7 ,timing of notice ,the mailing of the notice described in paragraph 7#a7 shall precede any notice and demand of any covered penalty by at least #fj days 7#abj days in the case of a notice addressed to a taxpayer outside the ,united ,states74 7b7 ,right to a review ,within #fj days 7#abj days in the case of a notice sent to a taxpayer outside the ,united ,states7 of the mailing of the notice described in subsection 7a71 the taxpayer may request a review of the proposed penalty by the ,internal ,revenue ,service ,independent ,office of ,appeals4 7c7 ,suspension of assessment and collection 7#a7 ,in general ,a covered penalty may not be assessed1 demanded1 or collected before-- 7,a7 the expiration of the period provided under subsection 7b71 or 7,b7 in any case in which the taxpayer requests a review under subsection 7b71 the date a final determination is issued in such review4 7#b7 ,statute of limitations ,if a notice described in subsection 7a7 with respect to any covered penalty is mailed before the expiration of the period provided by section #feja for the assessment of such penalty 7determined without regard to this paragraph71 the running of such period shall be suspended for the period during which assessment is prohibited under this section and for #cj days thereafter4 7d7 ,covered penalty ,for purposes of this section1 the term covered penalty means any penalty imposed under section #fjch7;b77#a71 #fjch;,a7d77#a71 #fjch;,b7c71 #fjch;,c7c71 #fjch;,d7d77#a71 #fjci;,f7c77#a77;,b71 or #ffgg4 7e7 ,exception for jeopardy ,this subsection shall not apply if the ,secretary finds that the collection of the penalty is in jeopardy4 7f7 ,regulations ,the ,secretary shall prescribe such regulations or other guidance as may be necessary or appropriate to carry out this section1 including regulations or other guidance relating to-- 7#a7 procedures for issuing notices under subsection 7a71 7#b7 the time and manner for presenting appropriate defenses under subsection 7b77#b71 and 7#c7 establishing simplified reviews for cases in which the penalty amount at issue does not exceed a designated dollar threshold4 4 7#b7 ,clerical amendment ,the table of sections for subchapter ,c of chapter #fh of such ,code is amended by adding at the end the following new item3 ,sec4 #fgeb4 ,preliminary notice and right of review for covered penalties4 4 7c7 ,interpretive rules 7#a7 ,taxpayer rights ,nothing in the amendments made by this section shall be construed to create any limitation on the rights of a taxpayer-- 7,a7 under subchapter ,c or ,d of chapter #fd of the ,internal ,revenue ,code of #aihf1 or 7,b7 to pursue refund litigation with respect to the assessment or imposition of any penalty imposed under such ,code4 7#b7 ,no inference ,nothing in the amendments made by this section shall be construed to create any inference with respect to the treatment of any covered penalty 7as defined in section #fgeb of the ,internal ,revenue ,code of #aihf1 as added by this section7 before the date of the enactment of this ,act4 #c4 ,repeal of due date requirements for certain information returns relating to foreign trusts 7a7 ,in general ,section #bjjf7;b7 of the ,surface ,transportation and ,veterans ,health ,care ,choice ,improvement ,act of #bjae is amended by striking paragraphs 7#i7 and 7#aj74 7b7 ,effective date ,the amendment made by this section shall apply to returns for taxable years beginning after ,december #ca1 #bjbf4