(a) Short title

This Act may be cited as the IRS Whistleblower Program Improvement Act.

(b) Amendment of 1986 code

Except as otherwise expressly provided, whenever in this Act an amendment is expressed in terms of an amendment to a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.

(c) References to Secretary

For purposes of this Act, the term Secretary means the Secretary of the Treasury or the Secretary's delegate.

(d) Table of contents

The table of contents of this Act is as follows:

(a) In general

Paragraph (4) of section 7623(b) is amended—

(b) Conforming amendment

The heading of paragraph (4) of section 7623(b) is amended by striking Appeal and inserting Review.

(c) Effective date

The amendments made by this section shall apply to petitions under section 7623(b)(4) of the Internal Revenue Code of 1986 which are pending on, or filed on or after, the date of the enactment of this Act.

(a) In general

Paragraph (6) of section 7623(b) is amended by adding at the end the following new subparagraph:

(D) Whistleblower anonymity before the Tax Court

Notwithstanding sections 7458 and 7461, a whistleblower may elect to proceed anonymously before the Tax Court for all proceedings under this section absent a finding by the Tax Court that a societal interest exists for disclosing the whistleblower’s identity which exceeds the potential harm disclosure could cause to the whistleblower.

(b) Effective date

The amendments made by this section shall apply to petitions under section 7623(b)(4) of the Internal Revenue Code of 1986 which are pending on, or filed on or after, the date of the enactment of this Act.

(a) In general

Section 406(c) of division A of the Tax Relief and Health Care Act of 2006 is amended by striking such use, in paragraph (1) and inserting such use (which shall include a list and descriptions of the top tax avoidance schemes, not to exceed 10, disclosed by whistleblowers during such year),.

(b) Effective date

The amendments made by this section shall apply to reports for fiscal years ending after the enactment of this Act.

(a) In general

Section 7623(b) is amended by adding at the end the following new paragraph:

(7) Interest

(A) In general

If the Secretary has not provided notice to an individual described in paragraph (1) of a preliminary award recommendation before the applicable date, the amount of any award under this subsection shall include interest from such date at the overpayment rate under section 6621(a).

(B) Exception

No interest shall accrue under this paragraph after the date on which the Secretary provides notice to the individual of a preliminary award recommendation.

(C) Applicable date

For purposes of this paragraph, the applicable date is the date that is 12 months after the first date on which—

(i)

all of the proceeds resulting from actions subject to the award recommendation have been collected, and

(ii)

either—

(I)

the statutory period for filing a claim or suit for refund has expired, or

(II)

the taxpayers subject to the actions and the Secretary have agreed with finality to the tax or other liabilities for the periods at issue, and either the taxpayers have waived the right to file a claim or suit for refund or any claim or suit for refund has been resolved.

(b) Effective date

(a) In general

Section 62(a)(21)(A)(i) is amended by striking 7623(b) and inserting 7623.

(b) Effective date

The amendment made by this section shall apply to taxable years ending after the date of the enactment of this Act.