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119th Congress

H.R. 9499

Protecting Taxpayers from Ghost Preparers Act

  1. Introduced
  2. In committee
  3. Passed House
  4. Passed Senate
  5. To President
  6. Became law
Sponsor
Nicole Malliotakis(R-NY)
Introduced
Jun 29, 2026
Policy area
Taxation
Committees
House Committee on Ways and Means; Senate Committee on Finance
Official text
Referred in Senate · Congress.gov page

Cosponsors (0)

No cosponsors.

Summary

Summary by the Congressional Research Service· describes the “Passed House” version

Protecting Taxpayers from Ghost Preparers Act This bill limits the amount of time the Internal Revenue Service (IRS) has to assess taxes related to fraudulent or false federal tax returns where there is no intent by the taxpayer to evade taxes. As background, the IRS generally has three years from the date that a tax return is filed (statute of limitations) to assess taxes owed by the taxpayer for the tax year. However, if a false or fraudulent tax return is filed with the intent to evade tax (fraud exception), then the IRS may assess taxes at any time. In Murrin v. Commissioner the U.S. Tax Court held (and the U.S. Court of Appeals for the Third Circuit affirmed) that the fraud exception applies when a tax return preparer places false or fraudulent entries on a tax return without the taxpayer’s knowledge. In contrast, the U.S. Court of Federal Claims held in BASR Partnership v. Commissioner that the fraud exception only applies if the taxpayer intends to evade taxes. The bill limits the fraud exception to cases in which the taxpayer intends to evade taxes.

Roll-call votes

No recorded votes on this bill.

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