S.Amdt. 3344

SA 3344. Mr. LEVIN (for himself, Mrs. Shaheen, and Mr. Whitehouse)
submitted an amendment intended to be proposed to amendment SA 3336
proposed by Mr. Baucus to the bill H.R. 4213, to amend the Internal
Revenue Code of 1986 to extend certain expiring provisions, and for
other purposes; which was ordered to lie on the table; as follows:

At the end add the following:
TITLE VIII--STOP TAX HAVEN ABUSE

SEC. 801. AUTHORIZING SPECIAL MEASURES AGAINST FOREIGN
JURISDICTIONS, FINANCIAL INSTITUTIONS, AND
OTHERS THAT IMPEDE UNITED STATES TAX
ENFORCEMENT.

Section 5318A of title 31, United States Code, is amended--
(1) by striking the section heading and inserting the
following:

``Sec. 5318A. Special measures for jurisdictions, financial
institutions, or international transactions that are of
primary money laundering concern or impede United States
tax enforcement'';

(2) in subsection (a), by striking the subsection heading
and inserting the following:
``(a) Special Measures To Counter Money Laundering and
Efforts To Impede United States Tax Enforcement.--'';
(3) in subsection (c), by striking the subsection heading
and inserting the following:
``(c) Consultations and Information To Be Considered in
Finding Jurisdictions, Institutions, Types of Accounts, or
Transactions To Be of Primary Money Laundering Concern or To
Be Impeding United States Tax Enforcement.--'';
(4) in subsection (a)(1), by inserting ``or is impeding
United States tax enforcement'' after ``primary money
laundering concern'';
(5) in subsection (a)(4)--
(A) in subparagraph (A)--
(i) by inserting ``in matters involving money laundering,''
before ``shall consult''; and
(ii) by striking ``and'' at the end;
(B) by redesignating subparagraph (B) as subparagraph (C);
and
(C) by inserting after subparagraph (A) the following:
``(B) in matters involving United States tax enforcement,
shall consult with the Commissioner of the Internal Revenue,
the Secretary of State, the Attorney General of the United
States, and in the sole discretion of the Secretary, such
other agencies and interested parties as the Secretary may
find to be appropriate; and'';
(6) in each of paragraphs (1)(A), (2), (3), and (4) of
subsection (b), by inserting ``or to be impeding United
States tax enforcement'' after ``primary money laundering
concern'' each place that term appears;
(7) in subsection (b), by striking paragraph (5) and
inserting the following:
``(5) Prohibitions or conditions on opening or maintaining
certain correspondent or payable-through accounts or
authorizing certain payment cards.--If the Secretary finds a
jurisdiction outside of the United States, 1 or more
financial institutions operating outside of the United
States, or 1 or more classes of transactions within or
involving a jurisdiction outside of the United States to be
of primary money laundering concern or to be impeding United
States tax enforcement, the Secretary, in consultation with
the Secretary of State, the Attorney General of the United
States, and the Chairman of the Board of Governors of the
Federal Reserve System, may prohibit, or impose conditions
upon--
``(A) the opening or maintaining in the United States of a
correspondent account or payable-through account; or
``(B) the authorization, approval, or use in the United
States of a credit card, charge card, debit card, or similar
credit or debit financial instrument by any domestic
financial institution, financial agency, or credit card
company or association, for or on behalf

[[Page S894]]

of a foreign banking institution, if such correspondent
account, payable-through account, credit card, charge card,
debit card, or similar credit or debit financial instrument,
involves any such jurisdiction or institution, or if any such
transaction may be conducted through such correspondent
account, payable-through account, credit card, charge card,
debit card, or similar credit or debit financial
instrument.''; and
(8) in subsection (c)(1), by inserting ``or is impeding
United States tax enforcement'' after ``primary money
laundering concern'';
(9) in subsection (c)(2)(A)--
(A) in clause (ii), by striking ``bank secrecy or special
regulatory advantages'' and inserting ``bank, tax, corporate,
trust, or financial secrecy or regulatory advantages'';
(B) in clause (iii), by striking ``supervisory and counter-
money'' and inserting ``supervisory, international tax
enforcement, and counter-money'';
(C) in clause (v), by striking ``banking or secrecy'' and
inserting ``banking, tax, or secrecy''; and
(D) in clause (vi), by inserting ``, tax treaty, or tax
information exchange agreement'' after ``treaty'';
(10) in subsection (c)(2)(B)--
(A) in clause (i), by inserting ``or tax evasion'' after
``money laundering''; and
(B) in clause (iii), by inserting ``, tax evasion,'' after
``money laundering''; and
(11) in subsection (d), by inserting ``involving money
laundering, and shall notify, in writing, the Committee on
Finance of the Senate and the Committee on Ways and Means of
the House of Representatives of any such action involving
United States tax enforcement'' after ``such action''.
______