Us Congress 2025-2026 Regular Session

Us Congress Senate Bill SB1375 Compare Versions

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

Old	New	Differences
1	1	II
2	2	119THCONGRESS
3	3	1
4	4	STSESSION S. 1375
5	5	To amend the Internal Revenue Code of 1986 to reinstate the exception
6	6	for de minimis payments by third party settlement organizations with
7	7	respect to returns relating to payments made in settlement of payment
8	8	card and third party network transactions, as in effect prior to the
9	9	enactment of the American Rescue Plan Act, and for other purposes.
10	10	IN THE SENATE OF THE UNITED STATES
11	11	APRIL9, 2025
12	12	Mr. H
13	13	AGERTYintroduced the following bill; which was read twice and referred
14	14	to the Committee on Finance
15	15	A BILL
16	16	To amend the Internal Revenue Code of 1986 to reinstate
17	17	the exception for de minimis payments by third party
18	18	settlement organizations with respect to returns relating
19	19	to payments made in settlement of payment card and
20	20	third party network transactions, as in effect prior to
21	21	the enactment of the American Rescue Plan Act, and
22	22	for other purposes.
23	23	Be it enacted by the Senate and House of Representa-1
24	24	tives of the United States of America in Congress assembled, 2
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27	27	•S 1375 IS
28	28	SECTION 1. SHORT TITLE. 1
29	29	This Act may be cited as the ‘‘Stop the Nosy Obses-2
30	30	sion with Online Payments Act of 2025’’ or the ‘‘SNOOP 3
31	31	Act of 2025’’. 4
32	32	SEC. 2. REINSTATEMENT OF EXCEPTION FOR DE MINIMIS 5
33	33	PAYMENTS AS IN EFFECT PRIOR TO ENACT-6
34	34	MENT OF AMERICAN RESCUE PLAN ACT. 7
35	35	(a) I
36	36	NGENERAL.—Section 6050W(e) of the Internal 8
37	37	Revenue Code of 1986 is amended to read as follows: 9
38	38	‘‘(e) E
39	39	XCEPTION FOR DEMINIMISPAYMENTS BY 10
40	40	T
41	41	HIRDPARTYSETTLEMENT ORGANIZATIONS.—A third 11
42	42	party settlement organization shall be required to report 12
43	43	any information under subsection (a) with respect to third 13
44	44	party network transactions of any participating payee only 14
45	45	if— 15
46	46	‘‘(1) the amount which would otherwise be re-16
47	47	ported under subsection (a)(2) with respect to such 17
48	48	transactions exceeds $20,000, and 18
49	49	‘‘(2) the aggregate number of such transactions 19
50	50	exceeds 200.’’. 20
51	51	(b) E
52	52	FFECTIVEDATE.—The amendment made by 21
53	53	this section shall take effect as if included in section 22
54	54	9674(a) of the American Rescue Plan Act. 23
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57	57	•S 1375 IS
58	58	SEC. 3. APPLICATION OF DE MINIMIS RULE FOR THIRD 1
59	59	PARTY NETWORK TRANSACTIONS TO BACKUP 2
60	60	WITHHOLDING. 3
61	61	(a) I
62	62	NGENERAL.—Section 3406(b) of the Internal 4
63	63	Revenue Code of 1986 is amended by adding at the end 5
64	64	the following new paragraph: 6
65	65	‘‘(8) O
66	66	THER REPORTABLE PAYMENTS INCLUDE 7
67	67	PAYMENTS IN SETTLEMENT OF THIRD PARTY NET -8
68	68	WORK TRANSACTIONS ONLY WHERE AGGREGATE 9
69	69	TRANSACTIONS EXCEED REPORTING THRESHOLD 10
70	70	FOR THE CALENDAR YEAR .— 11
71	71	‘‘(A) I
72	72	N GENERAL.—Any payment in set-12
73	73	tlement of a third party network transaction re-13
74	74	quired to be shown on a return required under 14
75	75	section 6050W which is made during any cal-15
76	76	endar year shall be treated as a reportable pay-16
77	77	ment only if— 17
78	78	‘‘(i) the aggregate number of trans-18
79	79	actions with respect to the participating 19
80	80	payee during such calendar year exceeds 20
81	81	the number of transactions specified in 21
82	82	section 6050W(e)(2), and 22
83	83	‘‘(ii) the aggregate amount of trans-23
84	84	actions with respect to the participating 24
85	85	payee during such calendar year exceeds 25
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88	88	•S 1375 IS
89	89	the dollar amount specified in section 1
90	90	6050W(e)(1) at the time of such payment. 2
91	91	‘‘(B) E
92	92	XCEPTION IF THIRD PARTY NET -3
93	93	WORK TRANSACTIONS MADE IN PRIOR YEAR 4
94	94	WERE REPORTABLE .—Subparagraph (A) shall 5
95	95	not apply with respect to payments to any par-6
96	96	ticipating payee during any calendar year if one 7
97	97	or more payments in settlement of third party 8
98	98	network transactions made by the payor to the 9
99	99	participating payee during the preceding cal-10
100	100	endar year were reportable payments.’’. 11
101	101	(b) E
102	102	FFECTIVEDATE.—The amendment made by 12
103	103	this section shall apply to calendar years beginning after 13
104	104	December 31, 2024. 14
105	105	Æ
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