Back to all bills
S 1386119th CongressIntroduced
Small Business Taxpayer Bill of Rights Act of 2025
Introduced: Oct 29, 2025
Civil Rights & JusticeEconomy & TaxesFinancial Services
Standard Summary
Comprehensive overview in 1-2 paragraphs
The Small Business Taxpayer Bill of Rights Act of 2025 enhances protections for small businesses in tax disputes by modifying cost-award standards, increasing civil damages for IRS misconduct, banning ex parte communications, and expanding alternative dispute resolution options.
Key Points
- 1Eliminates net worth limits for small businesses seeking reimbursement of litigation costs.
- 2Raises civil penalties for IRS employees' reckless or intentional disregard of tax laws to $5 million ($500,000 for negligence) and extends the statute of limitations to 5 years.
- 3Prohibits the IRS from introducing new issues during appeals and mandates independent mediation options.
Impact Areas
Small businessesInternal Revenue Service (IRS) operationsTax compliance and dispute resolution processes
Generated by legislative-analysis-v2 on Nov 8, 2025