Family and Small Business Taxpayer Protection Act
Family and Small Business Taxpayer Protection Act
Plain Language Summary
# Summary of HR 196: Family and Small Business Taxpayer Protection Act **What it would do:** This bill would take back (rescind) unspent money that was given to the IRS under the Inflation Reduction Act of 2022. Specifically, it would reclaim funds intended for IRS enforcement activities, taxpayer services, and a project to develop a free government tax filing system. It would also rescind funding for oversight offices within the Treasury Department that support the IRS. **Who it affects:** The bill primarily affects the IRS and Treasury Department's operations and staffing.
Indirectly, it could impact taxpayers who rely on IRS services and those who might have used a new government e-filing system if completed. Some argue it could affect tax enforcement activities, while others contend it protects small businesses from increased audits. **Current status:** The bill was introduced in the 119th Congress by Representative Adrian Smith (R-Nebraska) and is currently in committee, meaning it has not yet been voted on by the full House.
CRS Official Summary
Family and Small Business Taxpayer Protection Act This bill rescinds unobligated funds that were provided by the Inflation Reduction Act of 2022 to the Internal Revenue Service (IRS) for enforcement activities related to the determination and collection of taxes, for operations support for taxpayer services and enforcement activities, and for a task force to research options for a free, direct electronic filing (e-filing) tax return system. The bill also rescinds unobligated funds that were provided by the Inflation Reduction Act of 2022 for expenses of theTreasury Inspector General for Tax Administration,Office of Tax Policy,U.S. Tax Court, andoffices within the Department of the Treasury that provide oversight and support for the IRS.
Latest Action
Referred to the House Committee on Ways and Means.