II
119th CONGRESS
2d Session
S. 5275
IN THE SENATE OF THE UNITED STATES
August 6, 2026
Mr. Wyden (for himself, Ms. Cantwell, Mr. Whitehouse, Mr. Luján, and Mr. Welch) 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 prohibit orders or agreements relating to the release of tax claims by the President and related persons, and for other purposes.
Short title
This Act may be cited as the Presidential Tax Accountability and Audit Integrity Act
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Prohibition on orders or agreements relating to release of tax claims by the President and related persons
Prohibition
In general
Chapter 74 of the Internal Revenue Code of 1986 is amended by redesignating section 7124 as section 7125 and by inserting after section 7123 the following new section:
Prohibited orders and agreements
General rule
The Secretary—
is not authorized to enter into, grant, or make any covered instrument after the date of the enactment of this section, and
shall give no effect to any covered instrument in administering and enforcing the internal revenue laws.
Covered instrument
For purposes of this section, the term covered instrument means any term of any agreement, order, waiver, release, addendum, instruction, or similar instrument which—
purports to affect any Federal tax matter involving—
the President,
any individual who bears a relationship described in section 152(d)(2) to the individual described in subparagraph (A), or
any person related to any person described in subparagraph (A) or (B), and
is entered into, granted, or made during the period the individual described in paragraph (1)(A) is serving as President.
Related persons
For purposes of subsection (b)(1)(C), a person shall be treated as related to another person if—
the relationship between such persons would result in the disallowance of losses under section 267 or 707(b) (but, in applying subsections (b) and (c) of section 267 for purposes of this section, paragraph (4) of section 267(c) shall be treated as providing that the family of an individual shall include all individuals described in subsection (b)(1)(B)), or
such other person and such person are engaged in trades or businesses under common control (within the meaning of subsections (a) and (b) of section 52).
Reporting
In general
The Secretary shall submit to Congress and make publicly available reports disclosing the identity of the taxpayers to whom a covered instrument applies and any actions taken to comply with the requirements of this section (including any action taken to administer or enforce any tax to which the covered instrument applies with respect to such taxpayers).
Timing of reports
Reports required under paragraph (1) shall be made—
not later than 7 days after the date the covered instrument is entered into, granted, or made (or, in the case of any covered instrument entered into, granted, or made before the date of the enactment of this section, not later than 7 days after such date of enactment), and
every 30 days thereafter, ending with the earlier of—
the close of the first 30-day period ending after the date that is 3 years after the conclusion of the term in office as President of the individual described in subsection (b)(1)(A), or
the close of the first 30-day period ending after the date the covered instrument is rescinded.
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Authority to disclose information
In general
Section 6103(k) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:
Disclosures related to covered instruments
Return information may be disclosed to members of the general public to the extent necessary to carry out the requirements of section 7124(d).
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Conforming amendment
Section 6103(p)(3)(A) of such Code is amended by striking or (9)
and inserting (9), or (16)
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Clerical amendment
The table of sections for chapter 74 of the Internal Revenue Code of 1986 is amended by redesignating the item relating to section 7124 as relating to section 7125 and inserting after the item relating to section 7123 the following new item:
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Special rules for prior instruments
In general
In the case of any applicable person, the period for assessment for any applicable tax, or for bringing a proceeding in court for collection without assessment of such tax, shall not expire at any time before the later of—
the date that is 3 years after the conclusion of the term in office as President of the individual described in section 7124(b)(1)(A) of the Internal Revenue Code (as added by this section) with respect to a covered instrument described in paragraph (2), or
the date otherwise provided under section 6501 of such Code.
Applicable person
For purposes of this subsection, the term applicable person means any person described in section 7124(b)(1) of the Internal Revenue Code of 1986 (as added by this section) whose Federal taxes are affected by a covered instrument entered into, granted, or made after January 20, 2025, and before the date of the enactment of this Act.
Applicable tax
For purposes of this subsection, the term applicable tax means any tax imposed under the Internal Revenue Code of 1986 and for which the period for assessment or for bringing a proceeding in court for collection of such tax (determined without regard to this subsection) has not expired before the date on which the covered instrument described in paragraph (2) was entered into, granted, or made.
Covered instrument
For purposes of this subsection, the term covered instrument has the meaning given such term under section 7124(b) of the Internal Revenue Code of 1986, as added by this section.
Effective date
Prohibition
Except as provided in paragraph (2), the amendments made by this section shall apply to covered instruments (as defined in section 7124 of the Internal Revenue Code of 1986, as added by subsection (a)) entered into, granted, or made before, on, or after January 20, 2025.
Disclosure
The amendments made by subsection (a)(2) shall apply to disclosures made after the date of the enactment of this Act.
No inference
Nothing in this section or the amendments made by this section shall be construed to create any inference that a covered instrument (as defined in section 7124(b) of the Internal Revenue Code of 1986 (as added by this section)) is otherwise valid or enforceable notwithstanding the amendments made by this section.