‘‘(E) administrative costs and any other 
amounts. 
‘‘(5) OTHER INFORMATION.—The requirements 
of this paragraph are that the refund delivery prod-
uct facilitator discloses any other information re-
quired to be disclosed by the Secretary. 
‘‘(6) DISCLOSURE REQUIREMENT.—A disclosure 
under any of the preceding paragraphs of this sub-
section shall not be treated as meeting the require-
ments of the respective paragraph unless the disclo-
sure is written in a manner calculated to be under-
stood by the average consumer of refund delivery 
products and provides sufficient information (as de-
termined in accordance with regulations prescribed 
by the Secretary) to allow the consumer to under-
stand such options and credit alternatives. 
‘‘(c) PENALTY.— 
‘‘(1) IN GENERAL.—There is hereby imposed a 
penalty on any refund delivery product facilitator 
who fails to register with the Secretary pursuant to 
subsection (a) or fails to meet a disclosure require-
ment under subsection (b). 
‘‘(2) AMOUNT OF PENALTY.—The amount of 
the penalty imposed by paragraph (1) shall be the 
greater of— 
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‘‘(A) $1,000, and 
‘‘(B) three times the amount of the refund 
loan, if applicable, and refund delivery product 
facilitator-determined fees charged with respect 
to each refund delivery product provided by the 
refund delivery product facilitator during the 
period in which the failure described in para-
graph (1) occurred. 
‘‘(3) WAIVER BY SECRETARY.—In the case of a 
failure which is due to reasonable cause and not to 
willful neglect, the Secretary may waive part or all 
of the penalty imposed by paragraph (1) to the ex-
tent that the payment of such penalty would be ex-
cessive or otherwise inequitable relative to the failure 
involved. 
‘‘(d) CONDUCT.— 
‘‘(1) RULES OF CONDUCT.—The Secretary shall 
prescribe rules of conduct for refund delivery prod-
uct facilitators which are similar to the rules appli-
cable to federally authorized tax practitioners (as de-
fined by section 7525(a)(3)(A)) under part 10 of 
title 31, Code of Federal Regulations. 
‘‘(2) LIMITATION ON APPROVAL AS REFUND DE-
LIVERY PRODUCT FACILITATOR.—For such period as 
the Secretary (in his discretion) determines reason-
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able, the Secretary may not register any person as 
a refund delivery product facilitator under sub-
section (a) who the Secretary determines has en-
gaged in any conduct that would warrant discipli-
nary action under the rules of conduct prescribed 
under paragraph (1) or under part 10 of title 31, 
Code of Federal Regulations. 
‘‘(e) OTHER LIMITATIONS RELATING TO REFUND 
DELIVERY PRODUCTS.—In any case in which a taxpayer 
has consented to the release of the taxpayer’s refund indi-
cator to a refund delivery product facilitator, the Secretary 
may only provide information related to the refund indi-
cator to a refund delivery product facilitator who is reg-
istered under subsection (a). For purposes of the pre-
ceding sentence, the term ‘refund indicator’ means a noti-
fication provided through a tax return’s acknowledgement 
file regarding whether a refund will be paid. The Secretary 
may issue a refund indicator only after the Secretary de-
termines that the taxpayer’s refund would not be pre-
vented by any provision of this title, including any provi-
sion relating to refund offset to repay debts for delinquent 
Federal or State taxes, student loans, child support, or 
other Federal agency debt, whether the taxpayer is claim-
ing ineligible children for purposes of certain tax benefits, 
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and whether the refund will be held pending a fraud inves-
tigation. 
‘‘(f) DEFINITIONS.—For purposes of this section— 
‘‘(1) 
REFUND
DELIVERY
PRODUCT 
FACILITATOR.— 
‘‘(A) IN GENERAL.—The term ‘refund de-
livery product facilitator’ includes any electronic 
filing service provider who— 
‘‘(i) solicits for, processes, receives, or 
accepts delivery of an application for a re-
fund delivery product, or 
‘‘(ii) facilitates the making of a refund 
delivery product in any other manner. 
‘‘(B) ELECTRONIC FILING SERVICE PRO-
VIDER.—The term ‘electronic filing service pro-
vider’ includes any person who is an electronic 
return originator, intermediate service provider, 
or transmitter. 
‘‘(C) ELECTRONIC RETURN ORIGINATOR.— 
The term ‘electronic return originator’ includes 
a person who originates the electronic submis-
sion of income tax returns for another person. 
‘‘(D) 
INTERMEDIATE
SERVICE
PRO-
VIDER.—The term ‘intermediate service pro-
vider’ includes a person who assists with proc-
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