Bill > HR2782

This bill, the Small Business Taxpayer Bill of Rights Act of 2025, introduces several significant provisions to protect small businesses and improve taxpayer interactions with the Internal Revenue Service (IRS). The bill enhances rights for small businesses by modifying standards for awarding costs and fees, allowing small businesses with annual gross receipts up to $50 million to be eligible for certain fee considerations without net worth limitations. It increases civil damages for reckless or intentional disregard of tax laws, raising the maximum penalty from $1 million to $5 million. The bill also prohibits ex parte communications in IRS appeals, establishes a right to independent conferences, and provides alternative dispute resolution procedures that allow taxpayers to request mediation or arbitration with independent mediators. Additionally, the legislation increases penalties for unauthorized disclosure of taxpayer information, bans the IRS from raising new issues during appeals, limits enforcement of liens against principal residences, and requires the Treasury Inspector General to review IRS selection criteria for potential discrimination. Other key provisions include creating a tax deduction for audit expenses, implementing a 10-year term limit for the National Taxpayer Advocate, and providing more flexibility in releasing IRS levies for businesses experiencing economic hardship. The bill aims to create a more transparent, fair, and taxpayer-friendly environment, particularly for small businesses navigating complex tax situations.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/2782/all-info