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Bill > S1099
US S1099
US S1099Clyde-Hirsch-Sowers RESPECT Act Restraining Excessive Seizure of Property through the Exploitation of Civil asset forfeiture Tools Act
summary
Introduced
04/09/2019
04/09/2019
In Committee
04/09/2019
04/09/2019
Crossed Over
Passed
Dead
12/31/2020
12/31/2020
Introduced Session
116th Congress
Bill Summary
A bill to amend title 31, United States Code, to prohibit the Internal Revenue Service from carrying out seizures relating to a structuring transaction unless the property to be seized derived from an illegal source or the funds were structured for the purpose of concealing the violation of another criminal law or regulation, to require notice and a post-seizure hearing for such seizures, and for other purposes. This bill revises the authority and procedures that the Internal Revenue Service (IRS) uses to seize property that has been structured to avoid Bank Secrecy Act (BSA) reporting requirements. The IRS may only seize property it suspects has been structured to avoid BSA reporting requirements if the property was derived from an illegal source or the funds were structured to conceal the violation of a criminal law or regulation other than structuring transactions to evade BSA reporting requirements. Within 30 days of seizing property, the IRS must (1) make a good faith effort to find all owners of the property, and (2) notify the owners of the post-seizure hearing rights established by this bill. The IRS may apply to a court for one 30-day extension of the notice requirement if it can establish probable cause of an imminent threat to national security or personal safety. If the owner requests a court hearing within 30 days after notice is provided, the property must be returned unless the court holds a hearing within 30 days after notice is provided and finds that there is probable cause to believe that the property was derived from an illegal source or the funds were structured to conceal the violation of a criminal law or regulation other than a structuring violation. For tax purposes, the bill excludes from gross income any interest received from the federal government with respect to an action to recover property seized by the IRS pursuant to a claimed violation of the structuring provisions of the BSA.
AI Summary
This bill, the Clyde-Hirsch-Sowers RESPECT Act or the Restraining Excessive Seizure of Property through the Exploitation of Civil asset forfeiture Tools Act, amends the Internal Revenue Service's (IRS) authority and procedures for seizing property suspected of being structured to avoid Bank Secrecy Act (BSA) reporting requirements. The IRS can only seize such property if it was derived from an illegal source or structured to conceal the violation of a criminal law or regulation other than structuring transactions. The IRS must provide notice within 30 days of the seizure and allow the property owner to request a hearing within 30 days, after which the property must be returned unless the court finds probable cause of an illegal source or concealment of a criminal violation. Additionally, the bill excludes from taxable income any interest received from the federal government for actions to recover property seized by the IRS for structuring violations.
Committee Categories
Budget and Finance
Sponsors (3)
Last Action
Read twice and referred to the Committee on Finance. (on 04/09/2019)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.congress.gov/bill/116th-congress/senate-bill/1099/all-info |
| BillText | https://www.congress.gov/116/bills/s1099/BILLS-116s1099is.pdf |
| Bill | https://www.congress.gov/116/bills/s1099/BILLS-116s1099is.pdf.pdf |
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