To amend the Internal Revenue Code of 1986 to provide for the performance of certain tax collection services by contractors.

Amends the Internal Revenue Code to allow for the performance of tax collection services by contractors. Permits the IRS to retain up to 25 percent of the amount collected for the costs of a contractor's services, but credits the taxpayer as having paid taxes without regard to such fee. Exempts the United States of liability for any act or omission of a contractor. Permits a civil action against a contractor for unauthorized collection activities.