196 
States, which shall have jurisdiction over 
such an action without regard to the 
amount in controversy. 
‘‘(B) PROCEDURE.— 
‘‘(i) IN
GENERAL.—An action under 
subparagraph (A)(i) shall be governed 
under the rules and procedures set forth in 
section 42121(b) of title 49, United States 
Code. 
‘‘(ii) EXCEPTION.—Notification made 
under section 42121(b)(1) of title 49, United 
States Code, shall be made to the person 
named in the complaint and to the em-
ployer. 
‘‘(iii) BURDENS OF PROOF.—An action 
brought under subparagraph (A)(ii) shall be 
governed by the legal burdens of proof set 
forth in section 42121(b) of title 49, United 
States Code, except that in applying such 
section— 
‘‘(I) ‘behavior described in para-
graph (1)’ shall be substituted for ‘be-
havior described in paragraphs (1) 
through (4) of subsection (a)’ each
197 
place it appears in paragraph (2)(B) 
thereof, and 
‘‘(II) ‘a violation of paragraph 
(1)’ shall be substituted for ‘a violation 
of subsection (a)’ each place it appears. 
‘‘(iv) STATUTE
OF
LIMITATIONS.—A 
complaint under subparagraph (A)(i) shall 
be filed not later than 180 days after the 
date on which the violation occurs. 
‘‘(v) JURY TRIAL.—A party to an ac-
tion brought under subparagraph (A)(ii) 
shall be entitled to trial by jury. 
‘‘(3) REMEDIES.— 
‘‘(A) IN GENERAL.—An employee prevailing 
in any action under paragraph (2)(A) shall be 
entitled to all relief necessary to make the em-
ployee whole. 
‘‘(B) COMPENSATORY DAMAGES.—Relief for 
any action under subparagraph (A) shall in-
clude— 
‘‘(i) reinstatement with the same se-
niority status that the employee would have 
had, but for the reprisal,
198 
‘‘(ii) the sum of 200 percent of the 
amount of back pay and 100 percent of all 
lost benefits, with interest, and 
‘‘(iii) compensation for any special 
damages sustained as a result of the re-
prisal, including litigation costs, expert wit-
ness fees, and reasonable attorney fees. 
‘‘(4) RIGHTS RETAINED BY EMPLOYEE.—Nothing 
in this section shall be deemed to diminish the rights, 
privileges, or remedies of any employee under any 
Federal or State law, or under any collective bar-
gaining agreement. 
‘‘(5) NONENFORCEABILITY
OF
CERTAIN
PROVI-
SIONS WAIVING RIGHTS AND REMEDIES OR REQUIRING 
ARBITRATION OF DISPUTES.— 
‘‘(A) WAIVER OF RIGHTS AND REMEDIES.— 
The rights and remedies provided for in this sub-
section may not be waived by any agreement, 
policy form, or condition of employment, includ-
ing by a predispute arbitration agreement. 
‘‘(B) PREDISPUTE
ARBITRATION
AGREE-
MENTS.—No predispute arbitration agreement 
shall be valid or enforceable, if the agreement re-
quires arbitration of a dispute arising under this 
subsection.’’.
199 
(c) EFFECTIVE DATE.— 
(1) IN
GENERAL.—The amendments made by 
subsection (a) shall apply to disclosures made after 
the date of the enactment of this Act. 
(2) CIVIL PROTECTION.—The amendment made 
by subsection (b) shall take effect on the date of the 
enactment of this Act. 
SEC. 1406. CUSTOMER SERVICE INFORMATION. 
The Secretary of the Treasury (or the Secretary’s dele-
gate) shall provide helpful information to taxpayers placed 
on hold during a telephone call to any Internal Revenue 
Service help line, including the following: 
(1) Information about common tax scams. 
(2) Information on where and how to report tax 
scams. 
(3) Additional advice on how taxpayers can pro-
tect themselves from identity theft and tax scams. 
SEC. 1407. MISDIRECTED TAX REFUND DEPOSITS. 
Section 6402 is amended by adding at the end the fol-
lowing new subsection: 
‘‘(n) MISDIRECTED DIRECT DEPOSIT REFUND.—Not 
later than the date which is 6 month after the date of the 
enactment of the Taxpayer First Act of 2018, the Secretary 
shall prescribe regulations to establish procedures to allow 
for—
200 
‘‘(1) taxpayers to report instances in which a re-
fund made by the Secretary by electronic funds trans-
fer was erroneously delivered to an account at a fi-
nancial institution for which the taxpayer is not the 
owner; 
‘‘(2) coordination with financial institutions for 
the purpose of— 
‘‘(A) identifying erroneous payments de-
scribed in paragraph (1); and 
‘‘(B) recovery of the erroneously transferred 
amounts; and 
‘‘(3) the refund to be delivered to the correct ac-
count of the taxpayer.’’. 
TITLE II—21ST CENTURY IRS 
Subtitle A—Cybersecurity and 
Identity Protection 
SEC. 2001. PUBLIC-PRIVATE PARTNERSHIP TO ADDRESS 
IDENTITY THEFT REFUND FRAUD. 
The Secretary of the Treasury (or the Secretary’s dele-
gate) shall work collaboratively with the public and private 
sectors to protect taxpayers from identity theft refund fraud.
201 
SEC. 2002. RECOMMENDATIONS OF ELECTRONIC TAX AD-
MINISTRATION ADVISORY COMMITTEE RE-
GARDING IDENTITY THEFT REFUND FRAUD. 
The Secretary of the Treasury shall ensure that the ad-
visory group convened by the Secretary pursuant to section 
2001(b)(2) of the Internal Revenue Service Restructuring 
and Reform Act of 1998 (commonly known as the Electronic 
Tax Administration Advisory Committee) studies (includ-
ing by providing organized public forums) and makes rec-
ommendations to the Secretary regarding methods to pre-
vent identity theft and refund fraud. 
SEC. 2003. INFORMATION SHARING AND ANALYSIS CENTER. 
(a) IN GENERAL.—The Secretary of the Treasury (or 
the Secretary’s delegate) may participate in an information 
sharing and analysis center to centralize, standardize, and 
enhance data compilation and analysis to facilitate sharing 
actionable data and information with respect to identity 
theft tax refund fraud. 
(b) DEVELOPMENT OF PERFORMANCE METRICS.—The 
Secretary of the Treasury (or the Secretary’s delegate) shall 
develop metrics for measuring the success of such center in 
detecting and preventing identity theft tax refund fraud. 
(c) DISCLOSURE.— 
(1) IN GENERAL.—Section 6103(k), as amended 
by this Act, is amended by adding at the end the fol-
lowing new paragraph:
202 
‘‘(14) DISCLOSURE
OF
RETURN
INFORMATION 
FOR PURPOSES OF CYBERSECURITY AND THE PREVEN-
TION OF IDENTITY THEFT TAX REFUND FRAUD.— 
‘‘(A) IN GENERAL.—Under such procedures 
and subject to such conditions as the Secretary 
may prescribe, the Secretary may disclose speci-
fied return information to specified ISAC par-
ticipants to the extent that the Secretary deter-
mines such disclosure is in furtherance of effec-
tive Federal tax administration relating to the 
detection or prevention of identity theft tax re-
fund fraud, validation of taxpayer identity, au-
thentication of taxpayer returns, or detection or 
prevention of cybersecurity threats. 
‘‘(B) SPECIFIED ISAC PARTICIPANTS.—For 
purposes of this paragraph— 
‘‘(i) IN GENERAL.—The term ‘specified 
ISAC participant’ means— 
‘‘(I) any person designated by the 
Secretary as having primary responsi-
bility for a function performed with re-
spect to the information sharing and 
analysis center described in section 
2003(a) of the Taxpayer First Act of 
2018, and
203 
‘‘(II) any person subject to the re-
quirements of section 7216 and which 
is a participant in such information 
sharing and analysis center. 
‘‘(ii) INFORMATION
SHARING
AGREE-
MENT.—Such term shall not include any 
person unless such person has entered into 
a written agreement with the Secretary set-
ting forth the terms and conditions for the 
disclosure of information to such person 
under this paragraph, including require-
ments regarding the protection and safe-
guarding of such information by such per-
son. 
‘‘(C) SPECIFIED
RETURN
INFORMATION.— 
For purposes of this paragraph, the term ‘speci-
fied return information’ means— 
‘‘(i) in the case of a return which is in 
connection with a case of potential identity 
theft refund fraud— 
‘‘(I) in the case of such return 
filed electronically, the internet pro-
tocol address, device identification, 
email domain name, speed of comple-
tion, method of authentication, refund
204 
method, and such other return infor-
mation related to the electronic filing 
characteristics of such return as the 
Secretary may identify for purposes of 
this subclause, and 
‘‘(II) in the case of such return 
prepared by a tax return preparer, 
identifying information with respect to 
such tax return preparer, including the 
preparer taxpayer identification num-
ber and electronic filer identification 
number of such preparer, 
‘‘(ii) in the case of a return which is 
in connection with a case of a identity theft 
refund fraud which has been confirmed by 
the Secretary (pursuant to such procedures 
as the Secretary may provide), the informa-
tion referred to in subclauses (I) and (II) of 
clause (i), the name and taxpayer identi-
fication number of the taxpayer as it ap-
pears on the return, and any bank account 
and routing information provided for mak-
ing a refund in connection with such re-
turn, and
205 
‘‘(iii) in the case of any cybersecurity 
threat to the Internal Revenue Service, in-
formation similar to the information de-
scribed in subclauses (I) and (II) of clause 
(i) with respect to such threat. 
‘‘(D) RESTRICTION ON USE OF DISCLOSED 
INFORMATION.— 
‘‘(i) DESIGNATED
THIRD
PARTIES.— 
Any return information received by a per-
son described in subparagraph (B)(i)(I) 
shall be used only for the purposes of and 
to the extent necessary in— 
‘‘(I) performing the function such 
person is designated to perform under 
such subparagraph, 
‘‘(II) facilitating disclosures au-
thorized under subparagraph (A) to 
persons described in subparagraph 
(B)(i)(II), and 
‘‘(III) facilitating disclosures au-
thorized under subsection (d) to par-
ticipants in such information sharing 
and analysis center. 
‘‘(ii) RETURN
PREPARERS.—Any re-
turn information received by a person de-
206 
scribed in subparagraph (B)(i)(II) shall be 
treated for purposes of section 7216 as in-
formation furnished to such person for, or 
in connection with, the preparation of a re-
turn of the tax imposed under chapter 1. 
‘‘(E) 
DATA
PROTECTION
AND
SAFE-
GUARDS.—Return information disclosed under 
this paragraph shall be subject to such protec-
tions and safeguards as the Secretary may re-
quire in regulations or other guidance or in the 
written agreement referred to in subparagraph 
(B)(ii). Such written agreement shall include a 
requirement that any unauthorized access to in-
formation disclosed under this paragraph, and 
any breach of any system in which such infor-
mation is held, be reported to the Treasury In-
spector General for Tax Administration.’’. 
(2) APPLICATION OF CIVIL AND CRIMINAL PEN-
ALTIES.— 
(A) Section 6103(a)(3), as amended by this 
Act, is amended by striking ‘‘or (13)’’ and in-
serting ‘‘(13), or (14)’’. 
(B) Section 7213(a)(2), as amended by this 
Act, is amended by striking ‘‘or (13)’’ and in-
serting ‘‘(13), or (14)’’.
207 
SEC. 2004. COMPLIANCE BY CONTRACTORS WITH CON-
FIDENTIALITY SAFEGUARDS. 
(a) IN GENERAL.—Section 6103(p) is amended by 
adding at the end the following new paragraph: 
‘‘(9) DISCLOSURE TO CONTRACTORS AND OTHER 
AGENTS.—Notwithstanding any other provision of 
this section, no return or return information shall be 
disclosed to any contractor or other agent of a Fed-
eral, State, or local agency unless such agency, to the 
satisfaction of the Secretary— 
‘‘(A) has requirements in effect which re-
quire each such contractor or other agent which 
would have access to returns or return informa-
tion to provide safeguards (within the meaning 
of paragraph (4)) to protect the confidentiality 
of such returns or return information, 
‘‘(B) agrees to conduct an on-site review 
every 3 years (or a mid-point review in the case 
of contracts or agreements of less than 3 years in 
duration) of each contractor or other agent to de-
termine compliance with such requirements, 
‘‘(C) submits the findings of the most recent 
review conducted under subparagraph (B) to the 
Secretary as part of the report required by para-
graph (4)(E), and
208 
‘‘(D) certifies to the Secretary for the most 
recent annual period that such contractor or 
other agent is in compliance with all such re-
quirements. 
The certification required by subparagraph (D) shall 
include the name and address of each contractor or 
other agent, a description of the contract or agreement 
with such contractor or other agent, and the duration 
of such contract or agreement. The requirements of 
this paragraph shall not apply to disclosures pursu-
ant to subsection (n) for purposes of Federal tax ad-
ministration.’’. 
(b) 
CONFORMING
AMENDMENT.—Section 
6103(p)(8)(B) is amended by inserting ‘‘or paragraph (9)’’ 
after ‘‘subparagraph (A)’’. 
(c) EFFECTIVE DATE.—The amendments made by this 
section shall apply to disclosures made after December 31, 
2022. 
SEC. 2005. REPORT ON ELECTRONIC PAYMENTS. 
Not later than 2 years after the date of the enactment 
of this Act, the Secretary of the Treasury (or the Secretary’s 
delegate), in coordination with the Bureau of Fiscal Service 
and the Internal Revenue Service, and in consultation with 
private sector financial institutions, shall submit a written 
report to Congress describing how the government can uti-
209 
lize new payment platforms to increase the number of tax 
refunds paid by electronic funds transfer. Such report shall 
weigh the interests of reducing identity theft tax refund 
fraud, reducing the Federal Government’s costs in deliv-
ering tax refunds, the costs and any associated fees charged 
to taxpayers (including monthly and point-of-service fees) 
to access their tax refunds, the impact on individuals who 
do not have access to financial accounts or institutions, and 
ensuring payments are made to accounts at a financial in-
stitution that complies with section 21 of the Federal De-
posit Insurance Act, chapter 2 of title I of Public Law 91– 
508, and subchapter II of chapter 53 of title 31, United 
States Code (commonly referred to collectively as the ‘‘Bank 
Secrecy Act’’) and the USA PATRIOT Act. Such report 
shall include any legislative recommendations necessary to 
accomplish these goals. 
SEC. 2006. IDENTITY PROTECTION PERSONAL IDENTIFICA-
TION NUMBERS. 
(a) IN GENERAL.—Subject to subsection (b), the Sec-
retary of the Treasury or the Secretary’s delegate (hereafter 
referred to in this section as the ‘‘Secretary’’) shall establish 
a program to issue, upon the request of any individual, a 
number which may be used in connection with such indi-
vidual’s social security number (or other identifying infor-
mation with respect to such individual as determined by
210 
the Secretary) to assist the Secretary in verifying such indi-
vidual’s identity. 
(b) REQUIREMENTS.— 
(1) ANNUAL
EXPANSION.—For each calendar 
year beginning after the date of the enactment of this 
Act, the Secretary shall provide numbers through the 
program described in subsection (a) to individuals re-
siding in such States as the Secretary deems appro-
priate, provided that the total number of States served 
by such program during such year is greater than the 
total number of States served by such program during 
the preceding year. 
(2) NATIONWIDE AVAILABILITY.—Not later than 
5 years after the date of the enactment of this Act, the 
Secretary shall ensure that the program described in 
subsection (a) is made available to any individual re-
siding in the United States. 
SEC. 2007. SINGLE POINT OF CONTACT FOR TAX-RELATED 
IDENTITY THEFT VICTIMS. 
(a) IN GENERAL.—The Secretary of the Treasury (or 
the Secretary’s delegate) shall establish and implement pro-
cedures to ensure that any taxpayer whose return has been 
delayed or otherwise adversely affected due to tax-related 
identity theft has a single point of contact at the Internal 
Revenue Service throughout the processing of the taxpayer’s
211 
case. The single point of contact shall track the taxpayer’s 
case to completion and coordinate with other Internal Rev-
enue Service employees to resolve case issues as quickly as 
possible. 
(b) SINGLE POINT OF CONTACT.— 
(1) IN
GENERAL.—For purposes of subsection 
(a), the single point of contact shall consist of a team 
or subset of specially trained employees who— 
(A) have the ability to work across func-
tions to resolve the issues involved in the tax-
payer’s case; and 
(B) shall be accountable for handling the 
case until its resolution. 
(2) TEAM OR SUBSET.—The employees included 
within the team or subset described in paragraph (1) 
may change as required to meet the needs of the Inter-
nal Revenue Service, provided that procedures have 
been established to— 
(A) ensure continuity of records and case 
history; and 
(B) notify the taxpayer when appropriate. 
SEC. 2008. NOTIFICATION OF SUSPECTED IDENTITY THEFT. 
(a) IN GENERAL.—Chapter 77 is amended by adding 
at the end the following new section:
212 
‘‘SEC. 
7529. 
NOTIFICATION 
OF 
SUSPECTED 
IDENTITY 
THEFT. 
‘‘(a) IN GENERAL.—If the Secretary determines that 
there has been or may have been an unauthorized use of 
the identity of any individual, the Secretary shall, without 
jeopardizing an investigation relating to tax administra-
tion— 
‘‘(1) as soon as practicable, notify the individual 
of such determination and provide— 
‘‘(A) instructions on how to file a report 
with law enforcement regarding the unauthorized 
use of the identity of the individual, 
‘‘(B) the identification of any forms nec-
essary for the individual to complete and submit 
to law enforcement to permit access to personal 
information of the individual during the inves-
tigation, 
‘‘(C) information regarding actions the in-
dividual may take in order to protect the indi-
vidual from harm relating to such unauthorized 
use, and 
‘‘(D) an offer of identity protection meas-
ures to be provided to the individual by the In-
ternal Revenue Service, such as the use of an 
identity protection personal identification num-
ber, and
213 
‘‘(2) at the time the information described in 
paragraph (1) is provided (or, if not available at such 
time, as soon as practicable thereafter), issue addi-
tional notifications to such individual (or such indi-
vidual’s designee) regarding— 
‘‘(A) whether an investigation has been ini-
tiated in regards to such unauthorized use, 
‘‘(B) whether the investigation substantiated 
an unauthorized use of the identity of the indi-
vidual, and 
‘‘(C) whether— 
‘‘(i) any action has been taken against 
a person relating to such unauthorized use, 
or 
‘‘(ii) any referral has been made for 
criminal prosecution of such person and, to 
the extent such information is available, 
whether such person has been criminally 
charged by indictment or information. 
‘‘(b) EMPLOYMENT-RELATED IDENTITY THEFT.— 
‘‘(1) IN GENERAL.—For purposes of this section, 
the unauthorized use of the identity of an individual 
includes the unauthorized use of the identity of the in-
dividual to obtain employment.
214 
‘‘(2) DETERMINATION OF EMPLOYMENT-RELATED 
IDENTITY THEFT.—For purposes of this section, in 
making a determination as to whether there has been 
or may have been an unauthorized use of the identity 
of an individual to obtain employment, the Secretary 
shall review any information— 
‘‘(A) obtained from a statement described in 
section 6051 or an information return relating 
to compensation for services rendered other than 
as an employee, or 
‘‘(B) provided to the Internal Revenue Serv-
ice by the Social Security Administration re-
garding any statement described in section 6051, 
which indicates that the social security account num-
ber provided on such statement or information return 
does not correspond with the name provided on such 
statement or information return or the name on the 
tax return reporting the income which is included on 
such statement or information return.’’. 
(b) ADDITIONAL MEASURES.— 
(1) EXAMINATION OF BOTH PAPER AND ELEC-
TRONIC STATEMENTS AND RETURNS.—The Secretary 
of the Treasury (or the Secretary’s delegate) shall ex-
amine the statements, information returns, and tax 
returns described in section 7529(b)(2) of the Internal
215 
Revenue Code of 1986 (as added by subsection (a)) for 
any evidence of employment-related identity theft, re-
gardless of whether such statements or returns are 
submitted electronically or on paper. 
(2) IMPROVEMENT OF EFFECTIVE RETURN PROC-
ESSING PROGRAM WITH SOCIAL SECURITY ADMINIS-
TRATION.—Section 232 of the Social Security Act (42 
U.S.C. 432) is amended by inserting after the third 
sentence the following: ‘‘For purposes of carrying out 
the return processing program described in the pre-
ceding sentence, the Commissioner of Social Security 
shall request, not less than annually, such informa-
tion described in section 7529(b)(2) of the Internal 
Revenue Code of 1986 as may be necessary to ensure 
the accuracy of the records maintained by the Com-
missioner of Social Security related to the amounts of 
wages paid to, and the amounts of self-employment 
income derived by, individuals.’’. 
(3) UNDERREPORTING
OF
INCOME.—The Sec-
retary (or the Secretary’s delegate) shall establish pro-
cedures to ensure that income reported in connection 
with the unauthorized use of a taxpayer’s identity is 
not taken into account in determining any penalty 
for underreporting of income by the victim of identity 
theft.
216 
(c) CLERICAL AMENDMENT.—The table of sections for 
chapter 77 is amended by adding at the end the following 
new item: 
‘‘Sec. 7529. Notification of suspected identity theft.’’. 
(d) EFFECTIVE DATE.—The amendments made by this 
section shall apply to determinations made after the date 
that is 6 months after the date of the enactment of this Act. 
SEC. 2009. GUIDELINES FOR STOLEN IDENTITY REFUND 
FRAUD CASES. 
(a) IN GENERAL.—Not later than 1 year after the date 
of the enactment of this Act, the Secretary (or the Sec-
retary’s delegate), in consultation with the National Tax-
payer Advocate, shall develop and implement publicly 
available guidelines for management of cases involving sto-
len identity refund fraud in a manner that reduces the ad-
ministrative burden on taxpayers who are victims of such 
fraud. 
(b) STANDARDS AND PROCEDURES TO BE CONSID-
ERED.—The guidelines described in subsection (a) may in-
clude— 
(1) standards for— 
(A) the average length of time in which a 
case involving stolen identity refund fraud 
should be resolved; 
(B) the maximum length of time, on aver-
age, a taxpayer who is a victim of stolen iden-
217 
tity refund fraud and is entitled to a tax refund 
which has been stolen should have to wait to re-
ceive such refund; and 
(C) the maximum number of offices and em-
ployees within the Internal Revenue Service with 
whom a taxpayer who is a victim of stolen iden-
tity refund fraud should be required to interact 
in order to resolve a case; 
(2) standards for opening, assigning, reas-
signing, or closing a case involving stolen identity re-
fund fraud; and 
(3) procedures for implementing and accom-
plishing the standards described in paragraphs (1) 
and (2), and measures for evaluating such procedures 
and determining whether such standards have been 
successfully implemented. 
SEC. 2010. INCREASED PENALTY FOR IMPROPER DISCLO-
SURE OR USE OF INFORMATION BY PRE-
PARERS OF RETURNS. 
(a) IN GENERAL.—Section 6713 is amended— 
(1) by redesignating subsections (b) and (c) as 
subsections (c) and (d), respectively; and 
(2) by inserting after subsection (a) the following 
new subsection:
218 
‘‘(b) ENHANCED PENALTY FOR IMPROPER USE OR 
DISCLOSURE RELATING TO IDENTITY THEFT.— 
‘‘(1) IN GENERAL.—In the case of a disclosure or 
use described in subsection (a) that is made in con-
nection with a crime relating to the misappropriation 
of another person’s taxpayer identity (as defined in 
section 6103(b)(6)), whether or not such crime in-
volves any tax filing, subsection (a) shall be ap-
plied— 
‘‘(A) by substituting ‘$1,000’ for ‘$250’, and 
‘‘(B) by substituting ‘$50,000’ for ‘$10,000’. 
‘‘(2) SEPARATE APPLICATION OF TOTAL PENALTY 
LIMITATION.—The limitation on the total amount of 
the penalty under subsection (a) shall be applied sep-
arately with respect to disclosures or uses to which 
this subsection applies and to which it does not 
apply.’’. 
(b) CRIMINAL PENALTY.—Section 7216(a) is amended 
by striking ‘‘$1,000’’ and inserting ‘‘$1,000 ($100,000 in 
the case of a disclosure or use to which section 6713(b) ap-
plies)’’. 
(c) EFFECTIVE DATE.—The amendments made by this 
section shall apply to disclosures or uses on or after the 
date of the enactment of this Act.
219 
Subtitle B—Development of 
Information Technology 
SEC. 2101. MANAGEMENT OF INTERNAL REVENUE SERVICE 
INFORMATION TECHNOLOGY. 
(a) DUTIES
AND RESPONSIBILITIES
OF INTERNAL 
REVENUE SERVICE CHIEF INFORMATION OFFICER.—Sec-
tion 7803, as amended by section 1001, is amended by add-
ing at the end the following new subsection: 
‘‘(f) INTERNAL REVENUE SERVICE CHIEF INFORMA-
TION OFFICER.— 
‘‘(1) IN GENERAL.—There shall be in the Inter-
nal Revenue Service an Internal Revenue Service 
Chief Information Officer (hereafter referred to in this 
subsection as the ‘IRS CIO’) who shall be appointed 
by the Commissioner of the Internal Revenue Service. 
‘‘(2) CENTRALIZED RESPONSIBILITY FOR INTER-
NAL REVENUE SERVICE INFORMATION TECHNOLOGY.— 
The Commissioner of the Internal Revenue Service 
(and the Secretary) shall act through the IRS CIO 
with respect to all development, implementation, and 
maintenance of information technology for the Inter-
nal Revenue Service. Any reference in this subsection 
to the IRS CIO which directs the IRS CIO to take 
any action, or to assume any responsibility, shall be
220 
treated as a reference to the Commissioner of the In-
ternal Revenue Service acting through the IRS CIO. 
‘‘(3) 
GENERAL
DUTIES
AND
RESPONSIBIL-
ITIES.—The IRS CIO shall— 
‘‘(A) be responsible for the development, im-
plementation, and maintenance of information 
technology for the Internal Revenue Service, 
‘‘(B) ensure that the information technology 
of the Internal Revenue Service is secure and in-
tegrated, 
‘‘(C) maintain operational control of all in-
formation technology for the Internal Revenue 
Service, 
‘‘(D) be the principal advocate for the infor-
mation technology needs of the Internal Revenue 
Service, and 
‘‘(E) consult with the Chief Procurement 
Officer of the Internal Revenue Service to ensure 
that the information technology acquired for the 
Internal Revenue Service is consistent with— 
‘‘(i) the goals and requirements speci-
fied in subparagraphs (A) through (D), and 
‘‘(ii) the strategic plan developed under 
paragraph (4). 
‘‘(4) STRATEGIC PLAN.—
221 
‘‘(A) IN GENERAL.—The IRS CIO shall de-
velop and implement a multiyear strategic plan 
for the information technology needs of the Inter-
nal Revenue Service. Such plan shall— 
‘‘(i) include performance measurements 
of such technology and of the implementa-
tion of such plan, 
‘‘(ii) include a plan for an integrated 
enterprise architecture of the information 
technology of the Internal Revenue Service, 
‘‘(iii) include and take into account 
the resources needed to accomplish such 
plan, 
‘‘(iv) take into account planned major 
acquisitions of information technology by 
the Internal Revenue Service, including 
Customer Account Data Engine 2 and the 
Enterprise Case Management System, and 
‘‘(v) align with the needs and strategic 
plan of the Internal Revenue Service. 
‘‘(B) PLAN UPDATES.—The IRS CIO shall, 
not less frequently than annually, review and 
update the strategic plan under subparagraph 
(A) (including the plan for an integrated enter-
prise architecture described in subparagraph
222 
(A)(ii)) to take into account the development of 
new information technology and the needs of the 
Internal Revenue Service. 
‘‘(5) SCOPE OF AUTHORITY.— 
‘‘(A) 
INFORMATION
TECHNOLOGY.—For 
purposes of this subsection, the term ‘information 
technology’ has the meaning given such term by 
section 11101 of title 40, United States Code. 
‘‘(B) INTERNAL
REVENUE
SERVICE.—Any 
reference in this subsection to the Internal Rev-
enue Service includes a reference to all compo-
nents of the Internal Revenue Service, includ-
ing— 
‘‘(i) the Office of the Taxpayer Advo-
cate, 
‘‘(ii) the Criminal Investigation Divi-
sion of the Internal Revenue Service, and 
‘‘(iii) except as otherwise provided by 
the Secretary with respect to information 
technology related to matters described in 
subsection (b)(3)(B), the Office of the Chief 
Counsel.’’. 
(b) INDEPENDENT VERIFICATION AND VALIDATION OF 
THE CUSTOMER ACCOUNT DATA ENGINE 2 AND ENTER-
PRISE CASE MANAGEMENT SYSTEM.—
223 
(1) IN GENERAL.—The Commissioner of the In-
ternal Revenue Service shall enter into a contract 
with an independent reviewer to verify and validate 
the implementation plans (including the performance 
milestones and cost estimates included in such plans) 
developed for the Customer Account Data Engine 2 
and the Enterprise Case Management System. 
(2) DEADLINE FOR COMPLETION.—Such contract 
shall require that such verification and validation be 
completed not later than the date which is 1 year 
after the date of the enactment of this Act. 
(3) APPLICATION TO PHASES OF CADE 2.— 
(A) IN GENERAL.—Paragraphs (1) and (2) 
shall not apply to phase 1 of the Customer Ac-
count Data Engine 2 and shall apply separately 
to each other phase. 
(B) DEADLINE FOR COMPLETING PLANS.— 
Not later than 1 year after the date of the enact-
ment of this Act, the Commissioner of the Inter-
nal Revenue Service shall complete the develop-
ment of plans for all phases of the Customer Ac-
count Data Engine 2. 
(C) 
DEADLINE
FOR
COMPLETION
OF 
VERIFICATION AND VALIDATION OF PLANS.—In 
the case of any phase after phase 2 of the Cus-
224 
tomer Account Data Engine 2, paragraph (2) 
shall be applied by substituting ‘‘the date on 
which the plan for such phase was completed’’ 
for ‘‘the date of the enactment of this Act’’. 
(c) COORDINATION OF IRS CIO AND CHIEF PROCURE-
MENT OFFICER OF THE INTERNAL REVENUE SERVICE.— 
(1) IN GENERAL.—The Chief Procurement Offi-
cer of the Internal Revenue Service shall— 
(A) identify all significant IRS information 
technology acquisitions and provide written noti-
fication to the Internal Revenue Service Chief 
Information Officer (hereafter referred to in this 
subsection as the ‘‘IRS CIO’’) of each such acqui-
sition in advance of such acquisition, and 
(B) regularly consult with the IRS CIO re-
garding acquisitions of information technology 
for the Internal Revenue Service, including meet-
ing with the IRS CIO regarding such acquisi-
tions upon request. 
(2) SIGNIFICANT IRS INFORMATION TECHNOLOGY 
ACQUISITIONS.—For purposes of this subsection, the 
term ‘‘significant IRS information technology acqui-
sitions’’ means—
225 
(A) any acquisition of information tech-
nology for the Internal Revenue Service in excess 
of $1,000,000, and 
(B) such other acquisitions of information 
technology for the Internal Revenue Service (or 
categories of such acquisitions) as the IRS CIO, 
in consultation with the Chief Procurement Offi-
cer of the Internal Revenue Service, may iden-
tify. 
(3) SCOPE.—Terms used in this subsection which 
are also used in section 7803(f) of the Internal Rev-
enue Code of 1986 (as amended by subsection (a)) 
shall have the same meaning as when used in such 
section. 
SEC. 2102. DEVELOPMENT OF ONLINE ACCOUNTS AND POR-
TALS. 
(a) IN GENERAL.—The Secretary of the Treasury or 
the Secretary’s delegate (hereafter referred to in this section 
as the ‘‘Secretary’’) shall— 
(1) develop secure individualized online accounts 
to provide services to taxpayers and their designated 
return preparers, including obtaining taxpayer infor-
mation, making payment of taxes, sharing docu-
mentation, and (to the extent feasible) addressing and 
correcting issues, and
226 
(2) develop a process for the acceptance of tax 
forms, and supporting documentation, in digital or 
other electronic format. 
(b) ELECTRONIC SERVICES TREATED
AS SUPPLE-
MENTAL; APPLICATION
OF SECURITY STANDARDS.—The 
Secretary shall ensure that the processes described in sub-
section (a)— 
(1) are a supplement to, and not a replacement 
for, other services provided by the Internal Revenue 
Service to taxpayers, including face-to-face taxpayer 
assistance and services provided by phone, and 
(2) comply with applicable security standards 
and guidelines. 
(c) PROCESS FOR DEVELOPING ONLINE ACCOUNTS.— 
(1) DEVELOPMENT OF PLAN.—Not later than 1 
year after the date of the enactment of this Act, the 
Secretary shall submit to Congress a written report 
describing the Secretary’s plan for developing the se-
cure individualized online accounts described in sub-
section (a)(1). Such plan shall address the feasibility 
of taxpayers addressing and correcting issues through 
such accounts and whether access to such accounts 
should be restricted and in what manner. 
(2) DEADLINE.—The Secretary shall make every 
reasonable effort to make the secure individualized on-
227 
line accounts described in subsection (a)(1) available 
to taxpayers by December 31, 2023. 
SEC. 2103. INTERNET PLATFORM FOR FORM 1099 FILINGS. 
(a) IN GENERAL.—Not later than January 1, 2023, 
the Secretary of the Treasury or the Secretary’s delegate 
(hereafter referred to in this section as the ‘‘Secretary’’) 
shall make available an Internet website or other electronic 
media, with a user interface and functionality similar to 
the Business Services Online Suite of Services provided by 
the Social Security Administration, that will provide access 
to resources and guidance provided by the Internal Revenue 
Service and will allow persons to— 
(1) prepare and file Forms 1099, 
(2) prepare Forms 1099 for distribution to re-
cipients other than the Internal Revenue Service, and 
(3) maintain a record of completed and sub-
mitted Forms 1099. 
(b) ELECTRONIC SERVICES TREATED
AS SUPPLE-
MENTAL; APPLICATION
OF SECURITY STANDARDS.—The 
Secretary shall ensure that the services described in sub-
section (a)— 
(1) are a supplement to, and not a replacement 
for, other services provided by the Internal Revenue 
Service to taxpayers, and
228 
(2) comply with applicable security standards 
and guidelines. 
SEC. 2104. STREAMLINED CRITICAL PAY AUTHORITY FOR 
INFORMATION TECHNOLOGY POSITIONS. 
(a) IN GENERAL.—Subchapter A of chapter 80 is 
amended by adding at the end the following new section: 
‘‘SEC. 7812. STREAMLINED CRITICAL PAY AUTHORITY FOR 
INFORMATION TECHNOLOGY POSITIONS. 
‘‘In the case of any position which is critical to the 
functionality of the information technology operations of 
the Internal Revenue Service— 
‘‘(1) section 9503 of title 5, United States Code, 
shall be applied— 
‘‘(A) by substituting ‘during the period be-
ginning on the date of the enactment of section 
7812 of the Internal Revenue Code of 1986, and 
ending on September 30, 2023’ for ‘Before Sep-
tember 30, 2013 in subsection (a)’, 
‘‘(B) without regard to subparagraph (B) of 
subsection (a)(1), and 
‘‘(C) by substituting ‘the date of the enact-
ment of the Taxpayer First Act of 2018’ for 
‘June 1, 1998’ in subsection (a)(6), 
‘‘(2) section 9504 of such title 5 shall be applied 
by substituting ‘During the period beginning on the
229 
date of the enactment of section 7812 of the Internal 
Revenue Code of 1986, and ending on September 30, 
2023’ for ‘Before September 30, 2013’ each place it 
appears in subsections (a) and (b), and 
‘‘(3) section 9505 of such title shall be applied— 
‘‘(A) by substituting ‘During the period be-
ginning on the date of the enactment of section 
7812 of the Internal Revenue Code of 1986, and 
ending on September 30, 2023’ for ‘Before Sep-
tember 30, 2013’ in subsection (a), and 
‘‘(B) by substituting ‘the information tech-
nology operations’ for ‘significant functions’ in 
subsection (a).’’. 
(b) CLERICAL AMENDMENT.—The table of sections for 
subchapter A of chapter 80 is amended by adding at the 
end the following new item: 
‘‘Sec. 7812. Streamlined critical pay authority for information technology posi-
tions.’’. 
Subtitle C—Modernization of Con-
sent-based Income Verification 
System 
SEC. 2201. DISCLOSURE OF TAXPAYER INFORMATION FOR 
THIRD-PARTY INCOME VERIFICATION. 
(a) IN GENERAL.—Not later than 1 year after the close 
of the 2-year period described in subsection (d)(1), the Sec-
retary of the Treasury or the Secretary’s delegate (hereafter
247 
‘‘(B) REVOCATION.—If an organization’’. 
(b) EFFECTIVE DATE.—The amendment made by this 
section shall apply to failures to file returns or notices for 
2 consecutive years if the return or notice for the second 
year is required to be filed after December 31, 2018. 
Subtitle C—Tax Court 
SEC. 3301. DISQUALIFICATION OF JUDGE OR MAGISTRATE 
JUDGE OF THE TAX COURT. 
(a) IN GENERAL.—Part II of subchapter C of chapter 
76 is amended by adding at the end the following new sec-
tion: 
‘‘SEC. 7467. DISQUALIFICATION OF JUDGE OR MAGISTRATE 
JUDGE OF THE TAX COURT. 
‘‘Section 455 of title 28, United States Code, shall 
apply to judges and magistrate judges of the Tax Court and 
to proceedings of the Tax Court.’’. 
(b) CLERICAL AMENDMENT.—The table of sections for 
such part is amended by adding at the end the following 
new item: 
‘‘Sec. 7467. Disqualification of judge or magistrate judge of the Tax Court.’’. 
SEC. 3302. OPINIONS AND JUDGMENTS. 
(a) IN GENERAL.—Section 7459 is amended by strik-
ing all the precedes subsection (c) and inserting the fol-
lowing: