Sponsors (5)
Bars IRS use of tax agreements affecting the President or close relations entered during the President’s term and requires rapid public reports to Congress, with limited return disclosures.
The bill increases transparency and prevents secret tax deals for Presidents while strengthening the IRS's ability to collect disputed liabilities, at the cost of exposing sensitive tax information and creating legal and financial uncertainty for affected taxpayers.
All taxpayers (including the President and related persons) will be prevented from using secret tax agreements that could shield them from federal tax enforcement, promoting equal application of tax law.
Congress, federal oversight bodies, and the public will receive rapid and recurring disclosures about covered instruments (initial report within 7 days and 30-day updates) increasing transparency and enabling faster oversight.
The federal government (IRS) will have extended assessment and collection windows for taxes tied to covered instruments entered between Jan 20, 2025 and enactment, preserving its ability to pursue liabilities that might otherwise expire and protecting revenue collection.
The President, related persons, and other taxpayers could have sensitive tax return information exposed to the general public through the required disclosures, raising privacy and rights concerns.
Third parties, taxpayers, and government actors may face legal uncertainty because the IRS could be required to refuse to recognize certain instruments, complicating reliance on prior agreements and tax administration.
Taxpayers affected by covered instruments will face delayed finality—extended assessment and collection periods can prolong uncertainty and potential litigation for up to three years after a President's term.
Based on analysis of 2 sections of legislative text.
Official title: 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 Ronald Lee Wyden · Last progress August 6, 2026
Prohibits the IRS from entering into or giving effect to any agreement or similar instrument that limits or resolves federal tax matters for the President (and certain close relatives or household members) when the instrument is entered into during the President’s term. Requires rapid public reporting to Congress identifying taxpayers covered by any such instrument and ongoing 30-day reports until the instrument is rescinded or three years after the President’s term ends, and authorizes limited disclosure of return information to carry out those reports. Also extends certain assessment/collection litigation timeframes for covered instruments entered between January 20, 2025 and enactment so those actions cannot expire before three years after the President’s term ends (or the normal statute under current law if later). The prohibition applies regardless of when a covered instrument was entered; the disclosure authority applies to disclosures made after enactment.