Sponsors (19)
The bill increases transparency and preserves the IRS's ability to prevent preferential tax treatment for Presidents by requiring public reporting and extending assessment windows, but it does so at the cost of exposing covered taxpayers' return information, adding administrative burdens to the IRS, and creating added uncertainty for affected taxpayers.
Presidents and related persons: prevents the IRS from entering into or enforcing agreements that would alter federal tax treatment while a President is in office, reducing the chance of preferential tax deals for the officeholder.
Taxpayers and the public: requires the IRS to publish lists identifying taxpayers covered by covered instruments within 7 days and every 30 days thereafter, increasing transparency about who is using such arrangements.
Taxpayers whose matters involve covered instruments: extends the IRS's assessment and collection deadlines so the agency can assess or collect taxes related to covered instruments after a President leaves office, preserving the government's ability to pursue tax liabilities.
Taxpayers identified as covered: allows public disclosure of return information about covered taxpayers to meet reporting rules, exposing sensitive tax data to the general public.
IRS staff and taxpayers: bans a class of settlement instruments and requires frequent public reports, which could create administrative burdens and delays for the IRS and slow resolution of tax cases.
Individuals and businesses with tax matters tied to covered instruments: extending assessment and collection periods may increase uncertainty about final tax obligations for people whose cases would otherwise be time-barred.
Based on analysis of 2 sections of legislative text.
Bars the IRS from entering into or enforcing agreements that affect federal tax matters involving the President or certain related persons, requires public reporting, and extends certain assessment periods.
Prohibits the Treasury Secretary and IRS from entering into, enforcing, or giving effect to any agreement, order, waiver, release, addendum, instruction, or similar instrument that would affect a federal tax matter involving the President, certain relatives, or related persons while the President is serving. Requires public reporting of covered taxpayers and actions taken (initial report within 7 days, then every 30 days) until three years after the President leaves office (or rescission), and authorizes limited disclosure of return information to meet those reporting requirements. Also extends assessment and collection periods for affected taxpayers so those time limits do not expire earlier than three years after the President’s term ends for certain pre-enactment covered instruments, and updates cross‑references in the tax code. The prohibition applies to covered instruments entered before, on, or after January 20, 2025; the public disclosure authority is effective on enactment.
Official title: To amend the Internal Revenue Code of 1986 to prohibit orders or agreements relating to the release of tax claims by the President and related persons, and for other purposes.
Introduced August 6, 2026 by Richard Edmund Neal · Last progress August 6, 2026