S. 26Senate118th Congress (2023-2025)In Committee

SNOOP Act of 2023

AI-Generated Summary

Updated January 20, 2026 at 2:21 AM UTC

The SNOOP Act of 2023 repeals the reporting changes that the American Rescue Plan Act added for third‑party network transactions. It raises the reporting threshold so that settlement organizations only have to report if a payee’s total payments exceed $20,000 and involve more than 200 transactions. The change affects third‑party settlement organizations and the taxpayers whose payments they process, applying to tax years beginning after December 31, 2021.

Key Provisions

Amends the exception for de minimis payments so reporting is required only when payments exceed $20,000 and the number of transactions exceeds 200.
Updates related language in section 6050W(c)(3) to remove a specific reference.
Sets the amendment’s effective date to tax years beginning after December 31, 2021, and applies the conforming amendment to transactions after the American Rescue Plan Act’s enactment.

Legislative Activity

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1 earlier action

SenateIntro Referral Latest Action

Read twice and referred to the Committee on Finance.

Finance Committee

January 23, 2023

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SenateIntro Referral

Introduced in Senate

January 23, 2023

SenateIntro Referral

Read twice and referred to the Committee on Finance.

Finance Committee

January 23, 2023

Bill Text

Latest available legislative text

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Introduced in SenateIssued January 23, 2023

118th CONGRESS

1st Session

S. 26

IN THE SENATE OF THE UNITED STATES

January 23 (legislative day, January 3), 2023

Mr. Hagerty (for himself, Ms. Lummis, Mr. Cruz, Mr. Hoeven, Mr. Cramer, Mr. Kennedy, Mr. Barrasso, Mr. Lankford, and Mr. Braun) introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To amend the Internal Revenue Code of 1986 to repeal the amendments made to reporting of third party network transactions by the American Rescue Plan Act of 2021.

Short title

This Act may be cited as the Stop the Nosy Obsession with Online Payments Act of 2023 or the SNOOP Act of 2023.

Repeal of modification of exceptions for reporting of third party network transactions

(a)

In general

Section 6050W(e) of the Internal Revenue Code of 1986 is amended to read as follows:

(e)

Exception for de minimis payments by third party settlement organizations

A third party settlement organization shall be required to report any information under subsection (a) with respect to third party network transactions of any participating payee only if—

(1)

the amount which would otherwise be reported under subsection (a)(2) with respect to such transactions exceeds $20,000, and

(2)

the aggregate number of such transactions exceeds 200.

(b)

Conforming amendment

Section 6050W(c)(3) of the Internal Revenue Code of 1986 is amended by striking described in subsection (d)(3)(A)(iii).

(c)

Effective date

(1)

In general

The amendment made by subsection (a) shall apply to returns for calendar years beginning after December 31, 2021.

(2)

Clarification

The amendment made by subsection (b) shall apply to transactions after the date of the enactment of the American Rescue Plan Act of 2021.