US HB2669 | 2011-2012 | 112th Congress

US Congress House Bill 2669 (Prior Session Legislation)

Status

Spectrum: Partisan Bill (Democrat 78-0)
Status: Introduced on July 27 2011 - 25% progression, died in committee
Action: 2011-08-22 - Referred to the Subcommittee on Capital Markets and Government Sponsored Enterprises.
Pending: House Subcommittee on Capital Markets and Government Sponsored Enterprises Committee
Text: Latest bill text (Introduced) [PDF]

Summary

Stop Tax Haven Abuse Act - Authorizes the Secretary of the Treasury to impose restrictions on foreign jurisdictions or financial institutions operating in the United States that are of prime money laundering concern or that impede U.S. tax enforcement. Amends the Internal Revenue Code to: (1) establish a rebuttable presumption against the validity of transactions by institutions that do not comply with reporting requirements under the Foreign Account Tax Compliance Act (FATCA), (2) treat certain foreign corporations managed and controlled primarily in the United States as domestic corporations for tax purposes, (3) require tax withholding agents and financial institutions to report certain information about beneficial owners of foreign-owned financial accounts, (4) treat credit default swap payments sent offshore as taxable U.S. source income, (5) allow the use of tax return information to evaluate foreign financial account reports, (6) increase penalties for promoting abusive tax shelters and for aiding and abetting the understatement of tax liability, (7) prohibit tax advisor contingent fee agreements for obtaining a tax savings or benefit, and (8) impose additional requirements for third party summonses used to obtain information in tax investigations that do not identify the person with respect to whose liability the summons is issued (i.e., John Doe summons). Amends the Securities Exchange Act of 1934 to: (1) require corporations registered with the Securities and Exchange Commission (SEC) to report annually, on a country-by country basis, on employees, sales, financing, tax obligations, and tax payments; and (2) authorize a fine of up to $1 million for failure to disclose any holding or transaction involving equity or debt instruments known to involve a foreign entity that would otherwise be subject to disclosure requirements. Requires the Secretary to publish a proposed rule in the Federal Register requiring unregistered investment companies, including hedge funds or private equity funds, to establish anti-money laundering programs and submit suspicious activity reports. Extends anti-money laundering requirements to persons engaged in the business of forming new businesses or other legal entities. Requires federal banking agencies and the SEC to develop examination techniques to detect and prevent abusive tax shelter activities or the aiding or abetting of tax evasion by financial institutions. Requires the Secretary to: (1) disclose tax return information to federal financial regulators for purposes of tax shelter investigations; (2) disclose to Congress documents relating to a determination to grant, deny, revoke, or restore the tax-exempt status of an organization; and (3) expand the standards applicable to tax practitioners for issuing written advice on transactions which have a potential for tax avoidance or evasion.

Title

Stop Tax Haven Abuse Act

Sponsors

Rep. Lloyd Doggett [D-TX]	Rep. Robert Andrews [D-NJ]	Sen. Tammy Baldwin [D-WI]	Rep. Karen Bass [D-CA]
Rep. Shelley Berkley [D-NV]	Rep. Earl Blumenauer [D-OR]	Rep. Leonard Boswell [D-IA]	Rep. Robert Brady [D-PA]
Rep. Bruce Braley [D-IA]	Rep. Michael Capuano [D-MA]	Rep. Judy Chu [D-CA]	Rep. David Cicilline [D-RI]
Rep. Hansen Clarke [D-MI]	Rep. Emanuel Cleaver [D-MO]	Rep. John Conyers [D-MI]	Rep. Jerry Costello [D-IL]
Rep. Elijah Cummings [D-MD]	Rep. Danny Davis [D-IL]	Rep. Peter DeFazio [D-OR]	Rep. Diana DeGette [D-CO]
Rep. Rosa DeLauro [D-CT]	Rep. Theodore Deutch [D-FL]	Rep. John Dingell [D-MI]	Rep. Donna Edwards [D-MD]
Rep. Keith Ellison [D-MN]	Rep. Sam Farr [D-CA]	Rep. Chaka Fattah [D-PA]	Rep. Bob Filner [D-CA]
Rep. Marcia Fudge [D-OH]	Rep. John Garamendi [D-CA]	Rep. Al Green [D-TX]	Rep. Gene Green [D-TX]
Rep. Raul Grijalva [D-AZ]	Rep. Luis Gutierrez [D-IL]	Rep. Maurice Hinchey [D-NY]	Sen. Mazie Hirono [D-HI]
Rep. Rush Holt [D-NJ]	Rep. Sheila Jackson-Lee [D-TX]	Rep. Jesse Jackson [D-IL]	Rep. Eddie Johnson [D-TX]
Rep. Henry Johnson [D-GA]	Rep. Marcy Kaptur [D-OH]	Rep. William Keating [D-MA]	Rep. James Langevin [D-RI]
Rep. John Larson [D-CT]	Rep. Barbara Lee [D-CA]	Rep. Sander Levin [D-MI]	Rep. John Lewis [D-GA]
Rep. Daniel Lipinski [D-IL]	Rep. David Loebsack [D-IA]	Sen. Ben Lujan [D-NM]	Sen. Edward Markey [D-MA]
Rep. Jim McDermott [D-WA]	Rep. James McGovern [D-MA]	Rep. George Miller [D-CA]	Rep. Gwen Moore [D-WI]
Rep. James Moran [D-VA]	Rep. Jerrold Nadler [D-NY]	Rep. John Olver [D-MA]	Rep. Frank Pallone [D-NJ]
Rep. Bill Pascrell [D-NJ]	Rep. Donald Payne [D-NJ]	Sen. Gary Peters [D-MI]	Rep. Chellie Pingree [D-ME]
Rep. Steven Rothman [D-NJ]	Rep. Bobby Rush [D-IL]	Rep. Linda Sanchez [D-CA]	Rep. Janice Schakowsky [D-IL]
Rep. Brad Sherman [D-CA]	Rep. Louise Slaughter [D-NY]	Rep. Fortney Stark [D-CA]	Rep. Betty Sutton [D-OH]
Rep. John Tierney [D-MA]	Rep. Paul Tonko [D-NY]	Rep. Niki Tsongas [D-MA]	Sen. Chris Van Hollen [D-MD]
Sen. Peter Welch [D-VT]	Rep. John Yarmuth [D-KY]

History

Date	Chamber	Action
2011-08-22	House	Referred to the Subcommittee on Capital Markets and Government Sponsored Enterprises.
2011-08-22	House	Referred to the Subcommittee on Financial Institutions and Consumer Credit.
2011-07-27	House	Referred to House Financial Services
2011-07-27	House	Referred to House Ways and Means
2011-07-27	House	Referred to the Committee on Ways and Means, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Same As/Similar To

SB1346 (Same As) 2011-07-12 - Read twice and referred to the Committee on Finance.
SB2075 (Related) 2012-02-07 - Read twice and referred to the Committee on Finance.