Federal

A bill to prevent the use of additional Internal Revenue Service funds from being used for audits of taxpayers with taxable incomes below $400,000 in order to protect low- and middle-income earning American taxpayers from an onslaught of audits from an army of new Internal Revenue Service auditors funded by an unprecedented, nearly $80,000,000,000, infusion of new funds.

Source: Congress.gov · 334 words in original text

What This Bill Does

This bill prevents the Internal Revenue Service from using new funding to audit people who earn less than $400,000 per year. The bill changes a previous law that gave money to the Internal Revenue Service (a federal agency that collects taxes) to restrict how that money can be spent.

Who It Affects

Taxpayers with taxable incomes below $400,000 are directly protected by this bill. The Internal Revenue Service is restricted in how it can use new funding.

Key Provisions

• No new funding given to the Internal Revenue Service can be used to audit taxpayers with taxable incomes below $400,000 (Sec. 1)

What Changes

If this bill becomes law, the Internal Revenue Service cannot use newly appropriated funds (money provided by Congress) to conduct audits of people earning less than $400,000 per year.

Important Definitions

Taxable income means the amount of earnings that is subject to federal income tax after certain deductions (reductions) are allowed.

Effective Date

Not specified in bill text

II 118TH CONGRESS 1ST SESSION S. 398 To prevent the use of additional Internal Revenue Service funds from being used for audits of taxpayers with taxable incomes below $400,000 in order to protect low- and middle-income earning American taxpayers from an onslaught of audits from an army of new Internal Revenue Service auditors funded by an unprecedented, nearly $80,000,000,000, infusion of new funds. IN THE SENATE OF THE UNITED STATES FEBRUARY 14, 2023 Mr. CRAPO (for himself, Mr. GRASSLEY, Mr. CORNYN, Mr. THUNE, Mr. SCOTT of South Carolina, Mr. CASSIDY, Mr. LANKFORD, Mr. YOUNG, Mr. BARRASSO, Mrs. BLACKBURN, and Mr. JOHNSON) introduced the fol- lowing bill; which was read twice and referred to the Committee on Fi- nance A BILL To prevent the use of additional Internal Revenue Service funds from being used for audits of taxpayers with tax- able incomes below $400,000 in order to protect low- and middle-income earning American taxpayers from an onslaught of audits from an army of new Internal Rev- enue Service auditors funded by an unprecedented, near- ly $80,000,000,000, infusion of new funds. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 VerDate Sep 11 2014 22:35 Feb 28, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S398.IS S398 kjohnson on DSK79L0C42PROD with BILLS 2 •S 398 IS SECTION 1. LIMITATIONS RELATED TO THE INTERNAL REV- 1 ENUE SERVICE. 2 (a) IN GENERAL.—Section 10301 of Public Law 3 117–169 is amended— 4 (1) by striking ‘‘IN GENERAL.—’’ and inserting 5 ‘‘(a) IN GENERAL.—’’, and 6 (2) by adding at the end the following: 7 ‘‘(b) LIMITATIONS RELATED TO THE INTERNAL REV- 8 ENUE SERVICE.—None of the funds appropriated under 9 subsection (a)(1) may be used to audit taxpayers with tax- 10 able incomes below $400,000.’’. 11 Æ VerDate Sep 11 2014 22:35 Feb 28, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6301 E:\BILLS\S398.IS S398 kjohnson on DSK79L0C42PROD with BILLS

Important: This plain English summary was generated by AI and is provided for informational purposes only. It is not legal advice. Always consult the official bill text on Congress.gov or a qualified attorney for legal matters.