119th (2025–2027)
S. 4752
This bill increases penalties for people who illegally disclose confidential taxpayer information. For general employees or contractors who unauthorized share tax data, criminal penalties jump from a maximum of $5,000 fine and five years imprisonment to $250,000 and seven years imprisonment. The bill creates a new specific crime for IRS contractors who fail to protect taxpayer information, with penalties of either $500,000 or 25 percent of their total contract value with the IRS, whichever is greater. Additionally, civil damages that taxpayers can recover for unauthorized disclosure increase from $1,000 to $5,000 per violation. These enhanced penalties take effect immediately upon the bill's enactment and apply to all future disclosures.