Sponsors (2)
This bill strengthens taxpayer service, appeals, and enforcement—speeding processing, improving preparer oversight, and targeting relief for expats, detainees, and low-income filers—while increasing electronic data use, oversight, and enforcement in ways that raise privacy risks, implementation costs, and added compliance burdens, especially for small preparers and cross‑border taxpayers.
Most taxpayers (including low-income filers): Faster, more transparent IRS interactions — e-filing status, near-real-time call-center metrics, clearer refund status, faster TAS investigations, and deadlines for refund determinations — reducing delays and increasing IRS accountability.
Taxpayers who dispute IRS actions: Stronger procedural rights and clearer appeal paths — improved Tax Court and Appeals access, clearer deficiency notices, and expanded TAS authority — giving taxpayers more and clearer routes to challenge IRS decisions.
Expatriates, detained U.S. nationals, and low-income taxpayers: Targeted relief and protections — simplified foreign-currency rules (higher de minimis), extended abatement times for persons abroad, refunds/abatements and filing/deadline relief for detained nationals, and expanded low-income clinic coverage/fee waivers.
All taxpayers (and families): Expanded electronic filing, broader data-sharing (to CBO, Treasury, public postings), and publishing of operational metrics increase privacy and data‑breach risks if redaction and security protections are inadequate.
All taxpayers and the federal budget: New systems, reporting mandates, interest on delayed awards, and program administration increase implementation and ongoing administrative costs that will be borne by taxpayers or require additional appropriations.
Small preparers, low-cost assistance providers, partnerships, and small businesses: New licensing, background checks, required continuing education, magnetic-media filing, and voluntary-withholding rules raise compliance costs and may push small providers out of the market, reducing access for low-income filers.
Based on analysis of 22 sections of legislative text.
Modernizes IRS electronic filing and customer‑service transparency, raises preparer penalties, reforms appeals/Tax Court and whistleblower rules, creates withholding authority for some non‑wage payments, and provides tax relief for wrongfully detained U.S. nationals.
Requires the IRS to modernize taxpayer services and processing, expand electronic filing and machine transcription for paper returns, publish live customer‑service metrics, and strengthen taxpayer assistance and appeals. Makes multiple tax code and procedure changes: adds voluntary withholding for certain non‑wage payments, raises preparer and electronic‑filing penalties, expands Tax Court subpoena/deposition authority, reforms whistleblower review and anonymity, creates tax relief for U.S. nationals wrongfully detained abroad, and orders Treasury and GAO studies on reporting burdens for U.S. persons overseas.
Introduced February 26, 2026 by Michael Dean Crapo · Last progress February 26, 2026