Bill > S2629

This bill, known as the Taxpayer Notification and Privacy Act of 2025, proposes changes to the Internal Revenue Code to enhance taxpayer protections during third-party information requests by the Internal Revenue Service (IRS). Specifically, the bill requires the IRS to provide more detailed and transparent notices when seeking information about a taxpayer from external sources. When the IRS wants to obtain information from third parties, they must now: (1) identify each specific item of information they intend to request, (2) provide the taxpayer with at least 45 days' notice before contacting third parties (with potential extension if the taxpayer requests additional time), and (3) only seek information from third parties if that information cannot reasonably be provided directly by the taxpayer. The bill includes an exception allowing the IRS to bypass these requirements if the Secretary of the Treasury determines that the requested information is necessary and cannot be obtained from the taxpayer. These new provisions will take effect 12 months after the bill's enactment, giving the IRS time to implement the new notification procedures and systems.

Budget and Finance

https://www.congress.gov/bill/119th-congress/senate-bill/2629/all-info