A bill to amend the Internal Revenue Code of 1954 to deny certain benefits to taxpayers who make bribes or other illegal payments to foreign government agents or officials.

Denies the benefits of the foreign tax credit, under the Internal Revenue Code, to any taxpayer, or a member of a controlled group which includes the taxpayer, who is determined by the Secretary of the Treasury to have made an illegal bribe, kickback, or other unlawful payment to an official, employee, or agent of a foreign government, with regard to income, war profits, or excess profits taxes paid to such foreign government.

Denies DISC benefits with regard to foreign bribe-produced income.

Requires taxpayers with foreign bribe-produced income to report to the Secretary of the Treasury the amount of such bribe and the amount of such income.

Prescribes penalties for any willful failure to report to the Secretary.

Makes technical and conforming amendments.

Defines the terms used in this Act.