Prison Inmate Tax Fraud Reduction Act

Prison Inmate Tax Fraud Reduction Act - Amends the Internal Revenue Code to authorize the Secretary of the Treasury to disclose in writing to the head of the Federal Bureau of Prisons or a state prison, subject to certain restrictions, taxpayer identity information of prisoners and whether such prisoners have claimed or received a federal tax refund that may be based on a false or fraudulent tax return.

[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4549 Introduced in House (IH)]







109th CONGRESS
  1st Session
                                H. R. 4549

     To amend the Internal Revenue Code of 1986 to provide for the 
 disclosure of certain prisoner return information to prison officials.


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                    IN THE HOUSE OF REPRESENTATIVES

                           December 15, 2005

 Mr. Ramstad (for himself, Mr. Lewis of Georgia, Mr. Keller, Mr. Davis 
of Florida, Mr. Feeney, Mr. Hayworth, and Mr. Beauprez) introduced the 
 following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
     To amend the Internal Revenue Code of 1986 to provide for the 
 disclosure of certain prisoner return information to prison officials.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Prison Inmate Tax Fraud Reduction 
Act''.

SEC. 2. DISCLOSURE OF PRISONER RETURN INFORMATION TO PRISON OFFICIALS.

    (a) In General.--Subsection (k) of section 6103 of the Internal 
Revenue Code of 1986 (relating to disclosure of certain return and 
return information for tax administration purposes) is amended by 
adding at the end the following new paragraph:
            ``(10) Disclosure of certain return information of 
        prisoners to prison officials.--
                    ``(A) In general.--The Secretary may disclose in 
                writing to the head of the Federal Bureau of Prisons or 
                the head of any State agency charged with 
                responsibility for administration of prisons--
                            ``(i) the taxpayer identity information 
                        with respect to any individual identified by 
                        such Bureau or agency as an individual 
                        imprisoned by such Bureau or agency, and
                            ``(ii) whether such individual has claimed 
                        or received (or has facilitated the claiming or 
                        receipt of) a Federal tax refund on the basis 
                        of a return which the Secretary has determined 
                        may be false or fraudulent (on the basis of 
                        such standards as the Secretary may prescribe).
                The head of such Bureau or State agency may disclose 
                such information to officers, employees, and 
                contractors of the Bureau or the State, as the case may 
                be, for the purposes described in subparagraph (B).
                    ``(B) Restriction on use of disclosed 
                information.--Return information received under this 
                paragraph shall be used only for purposes of and to the 
                extent necessary in taking administrative action to 
                prevent the filing of false and fraudulent returns, 
                including administrative actions to address possible 
                violations of administrative rules and regulations of 
                the prison facility.
                    ``(C) Termination.--No disclosure may be made under 
                this paragraph after the 5-year period beginning on the 
                date of the enactment of this paragraph.''.
    (b) Restrictions on Further Disclosure.--
            (1) In general.--Paragraph (3) of section 6103(a) of such 
        Code is amended by inserting ``subsection (k)(10),'' after 
        ``subsection (e)(1)(D)(iii),''.
            (2) Penalties.--Paragraph (2) of section 7213(a) of such 
        Code is amended by inserting ``(k)(10),'' after 
        ``(7)(A)(ii),''.
    (c) Evaluation by Treasury Inspector General for Tax 
Administration.--Paragraph (3) of section 7803(d) of such Code is 
amended by striking ``and'' at the end of subparagraph (A), by striking 
the period at the end of subparagraph (B) and inserting ``; and'', and 
by adding at the end the following new subparagraph:
                    ``(C) not later than 3 years after the date of the 
                enactment of section 6103(k)(10), submit a written 
                report to Congress on the implementation of such 
                section.''.
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