I
104TH CONGRESS
1ST SESSION
H. R. 2079
To provide amnesty from criminal and civil tax penalties for individuals
who, within the 6-month amnesty period, notify the Internal Revenue
Service of previous non-payments or underpayments of Federal income
tax and pay such underpayments in full.
IN THE HOUSE OF REPRESENTATIVES
JULY 20, 1995
Mr. FRISA introduced the following bill; which was referred to the Committee
on Ways and Means, and in addition to the Committee on the Judiciary,
for a period to be subsequently determined by the Speaker, in each case
for consideration of such provisions as fall within the jurisdiction of the
committee concerned
A BILL
To provide amnesty from criminal and civil tax penalties
for individuals who, within the 6-month amnesty period,
notify the Internal Revenue Service of previous non-
payments or underpayments of Federal income tax and
pay such underpayments in full.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. WAIVER OF CRIMINAL AND CIVIL PENALTIES.
(a) GENERAL RULE.—Notwithstanding any other
provision of law, in the case of any underpayment of Fed-
eral income tax by any individual for any taxable year,
such individual shall not be liable for any criminal or civil
penalty or addition to tax with respect to such
underpayment if—
(1) during the amnesty period—
(A) such individual files a written state-
ment with the Secretary which sets forth—
(i) the name, address, and taxpayer
identification number of the individual,
(ii) the amount of the underpayment
for the taxable year, and
(iii) such information as the Secretary
may require for purposes of determining
the correct amount of the underpayment
for the taxable year, and
(B) the individual agrees to a waiver of
any restriction on the assessment or collection
of such underpayment,
(2) when filing the statement described in para-
graph (1), the individual pays the amount of the
underpayment shown on such statement, and
(3) the individual pays the full amount of the
interest payable with respect to the underpayment,
not later than—
(A) 90 days after the date on which the in-
dividual is notified by the Secretary of the
amount of such interest, or
(B) any other date agreed to by the Sec-
retary and the individual, if such agreement is
reached before the expiration of the 90-day pe-
riod referred to in subparagraph (A).
The preceding sentence shall apply only to the extent that
the underpayment for the taxable year does not exceed the
amount set forth on the written statement filed under
paragraph (1).
(b) AMNESTY NOT TO APPLY IN CERTAIN CASES.—
(1) INAPPLICABILITY IF TAXPAYER CONTACTED
BEFORE STATEMENT FILED.—Subsection (a) shall
not apply to any underpayment of Federal income
tax for any taxable year to the extent that before the
statement is filed under subsection (a)(1)—
(A) such underpayment was assessed,
(B) a notice of deficiency with respect to
such underpayment was mailed under section
6212 of the Internal Revenue Code of 1986 and
was received by the taxpayer, or
(C) the taxpayer received notification from
the Secretary that the Secretary had questions
about the taxpayer’s tax liability for the taxable
year.
(2) INAPPLICABILITY
IF
FRAUD
IN
SEEKING
AMNESTY OR CRIMINAL INVESTIGATION PENDING.—
Subsection (a) shall not apply to any taxpayer if—
(A) any representation made by such tax-
payer under this section is false or fraudulent
in any material respect, or
(B) a Justice Department referral (within
the meaning of section 7602(c)(2) of the Inter-
nal Revenue Code of 1986) is in effect with re-
spect to such taxpayer as of the time such tax-
payer files a statement under subsection (a)(1).
(d) LACK OF PREJUDICE FROM FILING.—With re-
spect to any taxable year which is not the subject of a
filing by a taxpayer under subsection (a), the Secretary
shall not take any action with respect to such taxpayer
solely by reason of such filing, unless such taxpayer agrees
to such action.
(e) DEFINITIONS AND SPECIAL RULES.—For pur-
poses of this section—
(1) AMNESTY PERIOD.—The term ‘‘amnesty pe-
riod’’ means the 6-month period beginning on July
1, 1996.
(2) FEDERAL INCOME TAX.—The term ‘‘Fed-
eral income tax’’ means any tax imposed on an indi-
vidual by chapter 1 or 2 of the Internal Revenue
Code of 1986.
(3) ADDITION TO TAX INCLUDES ADDITIONAL
AMOUNT.—The term ‘‘addition to tax’’ includes any
additional amount.
(5) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of the Treasury or his delegate.
(6) FORM
OF
STATEMENT.—Any statement
under subsection (a)(1) shall be filed in such manner
and form as the Secretary shall prescribe.
(e) UNDERPAYMENTS FOR WHICH AMNESTY AVAIL-
ABLE.—The provisions of this section shall apply only to
underpayments of Federal income tax for taxable years
ending before January 1, 1994.
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