Rewards for Information on Tax Law Violations
Clarifies that the IRS may pay rewards for information relating to
civil tax violations as well as criminal.
The particular reward would be funded from the amount collected
by reason of the information provided.
An annual report on the rewards program is required.
Effective 6 months after the date of enactment.
Undercover Operations Extension
Reinstates the IRS's authority, which expired on 12/31/91, to fund
an undercover operation from the income generated from such
operation (churning authority) until 1-1-2001.
Annual reporting requirements on undercover operations are
expanded.
Effective on the date of enactment.
Penalties for Failure to File and Pay Tax
Treatment of Substitute Returns
The penalties for failure to file a tax return and pay tax apply to
substitute returns in the same manner as those penalties apply to
voluntary filed delinquent returns.
A substitute return will now be treated as a return filed by the
taxpayer.
Effective for any return with a due date after the date of enactment.
