Section 1 Short title
This Act may be cited as the “Taxpayer Transparency and Efficient Audit Act”.
Taxpayer Transparency and Efficient Audit Act
AN ACT
To improve transparency and efficiency with respect to audits and communications between taxpayers and the Internal Revenue Service.
Sec. 2 Deadline for responses to taxpayer correspondence
Not later than 30 days after receiving any written correspondence from a taxpayer, the Internal Revenue Service shall provide a substantive written response. For purposes of the preceding sentence, an acknowledgment letter shall not be treated as a substantive response.
Sec. 3 Taxpayer notification of disclosures by IRS of taxpayer information
In general— Not later than 30 days after disclosing any taxpayer information to any agency or instrumentality of Federal, State, or local government, the Internal Revenue Service shall provide a written notification to the taxpayer describing—
the information disclosed,
to whom it was disclosed, and
the date of disclosure.
Exception— Subsection (a) shall not apply if the Secretary of the Treasury, or the Secretary’s designee, determines that such notification would be detrimental to an ongoing criminal investigation or pose a risk to national security.
Sec. 4 Deadline for conclusion of audits of individual taxpayers
If any audit of a tax return of an individual by the Internal Revenue Service is not concluded before the end of the 1-year period beginning on the date of the initiation of such audit, the Internal Revenue Service shall provide the taxpayer a written letter explaining why such audit has taken more than 1 year to complete.
Sec. 5 No additional funds authorized
No additional funds are authorized to carry out the requirements of this Act. Such requirements shall be carried out using amounts otherwise authorized or appropriated.