Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Internal Revenue Service relating to Rules for Supervisory Approval of Penalties.
If enacted, HJR65 would effectively remove the rules set by the IRS regarding the supervisory approval process for imposing penalties. This change could significantly affect the enforcement landscape for tax penalties, as it may limit the IRS's ability to apply penalties without additional legislative scrutiny or approval. The resolution reflects a broader discussion about the balance of power between Congress and federal agencies like the IRS, with potential implications for how tax regulations are enforced and how taxpayer rights are protected.
HJR65 is a joint resolution introduced to provide for congressional disapproval of a specific rule submitted by the Internal Revenue Service (IRS), known as 'Rules for Supervisory Approval of Penalties.' The resolution aims to nullify this rule, which was published in the Federal Register. This legislative action indicates Congress's intention to assert its authority over IRS regulations, particularly regarding how penalties can be applied to taxpayers.
The introduction of HJR65 has sparked a debate over the appropriateness of IRS penalties. Supporters of the resolution argue that it is necessary to ensure checks on IRS authority and to protect taxpayers from what they perceive as arbitrary penalties. They emphasize the need for transparency and due process in the penalty approval process. However, opponents may view the resolution as an attempt to undermine IRS enforcement capabilities, possibly leading to a reduction in compliance with tax laws and a weakening of federal revenue collection.
HJR65 is significant as it represents a mechanism for Congress to exert its power over administrative rules, reinforcing the legislative branch's role in overseeing federal agencies. The bill is part of a larger trend that examines how regulatory authority is allocated within the federal government. As discussions about tax reform and regulatory oversight continue, the implications of this resolution could resonate beyond just this particular rule, potentially influencing future IRS policies and taxpayer interactions.