John Lewis Taxpayer Protection Act
This bill sets forth provisions for the protection of taxpayers from abusive tax collection practices and provides other protections for low-income taxpayers.
Specifically, it
- repeals the authority for private sector tax collection contracts,
- allows an exclusion from gross income for income attributable to the discharge of taxpayer indebtedness,
- repeals the suspension of the statute of limitations during a pending application for taxpayer assistance orders,
- restricts tax levies on tax-exempt retirement plans,
- suspends tax levies on taxpayers during periods of financial disability,
- repeals the partial payment requirement for submitting offers in compromise of tax liabilities,
- requires the Internal Revenue Service to provide notice to taxpayers of eligibility for the earned income tax credit and refunds of such credit,
- authorizes the Department of the Treasury to regulate and sanction income tax preparers, and
- increases funding for low-income taxpayer clinics and taxpayer services.