Us Congress 2025-2026 Regular Session

Us Congress House Bill HB990 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	I
2	2	119THCONGRESS
3	3	1
4	4	STSESSION H. R. 990
5	5	To amend the Internal Revenue Code of 1986 to allow individuals to avoid
6	6	a penalty for failure to pay income tax by timely paying 125 percent
7	7	of the income tax liability for the prior year.
8	8	IN THE HOUSE OF REPRESENTATIVES
9	9	FEBRUARY5, 2025
10	10	Ms. C
11	11	HU(for herself and Mr. CAREY) introduced the following bill; which was
12	12	referred to the Committee on Ways and Means
13	13	A BILL
14	14	To amend the Internal Revenue Code of 1986 to allow indi-
15	15	viduals to avoid a penalty for failure to pay income
16	16	tax by timely paying 125 percent of the income tax
17	17	liability for the prior year.
18	18	Be it enacted by the Senate and House of Representa-1
19	19	tives of the United States of America in Congress assembled, 2
20	20	SECTION 1. SHORT TITLE. 3
21	21	This Act may be cited as the ‘‘Simplify Automatic 4
22	22	Filing Extensions Act’’ or the ‘‘SAFE Act’’. 5
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25	25	•HR 990 IH
26	26	SEC. 2. NO PENALTY FOR FAILURE TO PAY INCOME TAX 1
27	27	FOR INDIVIDUALS WHO TIMELY PAY 125 PER-2
28	28	CENT OF INCOME TAX LIABILITY FOR PRIOR 3
29	29	YEAR. 4
30	30	(a) I
31	31	NGENERAL.—Section 6651(c) of the Internal 5
32	32	Revenue Code of 1986 is amended by adding at the end 6
33	33	the following new paragraph: 7
34	34	‘‘(3) N
35	35	O PENALTY FOR FAILURE TO PAY IN -8
36	36	COME TAX FOR INDIVIDUALS WHO TIMELY PAY 125 9
37	37	PERCENT OF INCOME TAX LIABILITY FOR PRIOR 10
38	38	YEAR.— 11
39	39	‘‘(A) I
40	40	N GENERAL.—Subsection (a)(2) 12
41	41	shall not apply with respect to an income tax 13
42	42	return of an individual if such individual pays, 14
43	43	on or before the date prescribed for the pay-15
44	44	ment of the tax with respect to which such re-16
45	45	turn relates (determined with regard to any ex-17
46	46	tension of time for payment), 125 percent of 18
47	47	the amount of tax required to be shown on the 19
48	48	income tax return of such individual for the im-20
49	49	mediately preceding taxable year. 21
50	50	‘‘(B) F
51	51	AILURE TO FILE; SHORT TAXABLE 22
52	52	YEARS.—Subparagraph (A) shall not apply— 23
53	53	‘‘(i) if the individual does not file an 24
54	54	income tax return for the taxable year de-25
55	55	scribed in subparagraph (A) on or before 26
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58	58	•HR 990 IH
59	59	the date prescribed therefor (determined 1
60	60	with regard to any extension of time for 2
61	61	filing), 3
62	62	‘‘(ii) if the individual did not file an 4
63	63	income tax return for the immediately pre-5
64	64	ceding taxable year referred to in subpara-6
65	65	graph (A), or 7
66	66	‘‘(iii) if the immediately preceding 8
67	67	taxable year referred to in subparagraph 9
68	68	(A) was less than 12 months. 10
69	69	‘‘(C) J
70	70	OINT RETURNS.—In the case of a 11
71	71	joint return, if the taxpayer did not file a joint 12
72	72	return for the immediately preceding taxable 13
73	73	year referred to in subparagraph (A), the 14
74	74	amounts required to be shown on the income 15
75	75	tax returns of both spouses for such imme-16
76	76	diately preceding taxable year shall be taken 17
77	77	into account under subparagraph (A). Except 18
78	78	as otherwise provided by the Secretary, if the 19
79	79	individual does not file a joint return for the 20
80	80	taxable year to which subparagraph (A) applies 21
81	81	and filed a joint return for the immediately pre-22
82	82	ceding taxable year, the entire amount of tax 23
83	83	required to be shown on such joint return shall 24
84	84	be taken into account under subparagraph (A). 25
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87	87	•HR 990 IH
88	88	‘‘(D) EXCEPTION NOT APPLICABLE UN -1
89	89	LESS ADDITIONAL PAYMENTS ARE MADE WITH 2
90	90	TIMELY FILED RETURN .—Subparagraph (A) 3
91	91	shall not apply with respect to any period be-4
92	92	ginning after the earlier of— 5
93	93	‘‘(i) the date prescribed for filing the 6
94	94	income tax return for the taxable year (in-7
95	95	cluding extensions thereof), or 8
96	96	‘‘(ii) the date on which such return 9
97	97	was filed.’’. 10
98	98	(b) C
99	99	ONFORMINGAMENDMENT.—The heading of sec-11
100	100	tion 6651(c) of such Code is amended by striking ‘‘R
101	101	ULE’’ 12
102	102	and inserting ‘‘R
103	103	ULES’’. 13
104	104	(c) E
105	105	FFECTIVEDATE.—The amendments made by 14
106	106	this section shall apply to taxable years beginning after 15
107	107	December 31, 2024. 16
108	108	Æ
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