(c) EFFECTIVE DATE.—The amendments made by
this section shall take effect on the date of the enactment
of this Act.
TITLE III—PROVISIONS RELAT-
ING TO INSTALLMENT AGREE-
MENTS
SEC. 301. GUARANTEED AVAILABILITY OF INSTALLMENT
AGREEMENTS.
(a) IN GENERAL.—Section 6159 (relating to agree-
ments for payment of tax liability in installments) is
amended by redesignating subsection (c) as subsection (d)
and by inserting after subsection (b) the following new
subsection:
‘‘(c) SECRETARY REQUIRED TO ENTER INTO IN-
STALLMENT AGREEMENTS IN CERTAIN CASES.—In the
case of a liability for tax under subtitle A of an individual,
the Secretary shall enter into an agreement to accept the
payment of such tax in installments if, as of the date the
individual offers to enter into the agreement—
‘‘(1) the aggregate amount of such liability (de-
termined without regard to interest, penalties, addi-
tions to the tax, and additional amounts) does not
exceed $10,000,
‘‘(2) the taxpayer (and, if such liability relates
to a joint return, the taxpayer’s spouse) has not,
during any of the preceding 5 taxable years—
‘‘(A) failed to file any return of tax im-
posed by subtitle A,
‘‘(B) failed to pay any tax required to be
shown on any such return, or
‘‘(C) entered into an installment agreement
under this section for payment of any tax im-
posed by subtitle A,
‘‘(3) the Secretary determines that the taxpayer
is financially unable to pay such liability in full when
due (and the taxpayer submits such information as
the Secretary may require to make such determina-
tion),
‘‘(4) the agreement requires full payment of
such liability within 3 years, and
‘‘(5) the taxpayer agrees—
‘‘(A) to extend the period under section
6502 for collecting such liability (including in-
terest, penalties, additions to the tax, and addi-
tional amounts) by the term of such agreement,
and
‘‘(B) to comply with the provisions of this
title for the period such agreement is in ef-
fect.’’.
(b) EFFECTIVE DATE.—The amendment made by
this section shall take effect on the date of the enactment
of this Act.
TITLE IV—EXPANSION OF
JUDICIAL REMEDIES
SEC. 401. TAXPAYERS ALLOWED MOTION TO QUASH ALL
THIRD-PARTY SUMMONSES.
(a) IN GENERAL.—Paragraph (1) of section 7609(a)
(relating to summonses to which section applies) is amend-
ed by striking so much of such paragraph as precedes ‘‘no-
tice of the summons’’ and inserting the following:
‘‘(1) IN GENERAL.—If any summons to which
this section applies requires the giving of testimony
on, or the production of any portion of records made
or kept of, the business transactions or affairs of
any person (other than the person summoned) who
is identified in the summons, then’’.
(b) CONFORMING AMENDMENTS.—
(1) Subsection (a) of section 7609 is amended
by striking paragraphs (3) and (4), by redesignating
paragraph (5) as paragraph (3), and by striking in
paragraph (3) (as so redesignated) ‘‘subsection
(c)(2)(B)’’ and inserting ‘‘subsection (c)(2)(D)’’.
(2) Subsection (c) of section 7609 is amended
to read as follows:
‘‘(c) SUMMONS TO WHICH SECTION APPLIES.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (2), this section shall apply to any summons
issued under paragraph (2) of section 7602(a) or
under section 6420(e)(2), 6421(g)(2), or 6427(j)(2).
‘‘(2) EXCEPTIONS.—This section shall not
apply to any summons—
‘‘(A) served on the person with respect to
whose liability the summons is issued, or any
officer or employee of such person,
‘‘(B) issued to determine whether or not
records of the business transactions or affairs
of an identified person have been made or kept,
‘‘(C) issued solely to determine the identity
of any person having a numbered account (or
similar arrangement) with a bank or other in-
stitution described in section 7603(b)(2)(A),
‘‘(D) issued in aid of the collection of—
‘‘(i) an assessment made or judgment
rendered against the person with respect to
whose liability the summons is issued, or
‘‘(ii) the liability at law or in equity of
any transferee or fiduciary of any person
referred to in clause (i),
‘‘(E)(i) issued by a criminal investigator of
the Internal Revenue Service in connection with
the investigation of an offense connected with
the administration or enforcement of the inter-
nal revenue laws, and
‘‘(ii) served on any person who is not a
third-party recordkeeper (as defined in section
7603(b)), or
‘‘(F) described in subsection (f) or (g).
‘‘(3) RECORDS.—For purposes of this section,
the term ‘records’ includes books, papers, and other
data.’’
(3) Paragraph (2) of section 7609(e) is amend-
ed by striking ‘‘third-party recordkeeper’s’’ and all
that follows through ‘‘subsection (f)’’ and inserting
‘‘summoned party’s response to the summons’’.
(4) Subsection (f) of section 7609 is amended—
(A) by striking ‘‘described in subsection
(c)’’ and inserting ‘‘described in subsection
(c)(1)’’, and
(B) by inserting ‘‘or testimony’’ after
‘‘records’’ in paragraph (3).