HR 1554 · 113th Congress 2013–2015, ended

Stop Tax Haven Abuse Act

Introduced Apr 15, 2013 Originated House Sponsor Lloyd Doggett D-TX

Latest action · Apr 15, 2013 Referred to the Committee on Ways and Means, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Progress

Where this bill reached, and when. A stage with no date was not reached; one that failed a vote and later carried shows the date it carried.

IntroducedApr 15, 2013
Passed HouseNot reached
Passed SenateNot reached
To the PresidentNot reached
Became lawNot reached

Summary

Stop Tax Haven Abuse Act - Authorizes the Secretary of the Treasury to impose restrictions on foreign jurisdictions or financial institutions operating in the United States that are of prime money laundering concern or that significantly impede U.S. tax enforcement.

Amends the Internal Revenue Code to: (1) establish a rebuttable presumption against the validity of transactions by institutions that do not comply with reporting requirements under the Foreign Account Tax Compliance Act, (2) treat certain foreign corporations managed and controlled primarily in the United States as domestic corporations for tax purposes, (3) require tax withholding agents and financial institutions to report certain information about beneficial owners of foreign-owned financial accounts, (4) treat swap payments sent offshore as taxable U.S. source income, (5) allow the use of tax return information to evaluate foreign financial account reports, (6) increase penalties for promoting abusive tax shelters and for aiding and abetting the understatement of tax liability, (7) prohibit tax advisor contingent fee agreements for obtaining a tax savings or benefit, and (8) impose additional requirements for third party summonses used to obtain information in tax investigations that do not identify the person with respect to whose liability the summons is issued (i.e., John Doe summons).

Amends the Securities Exchange Act of 1934 to: (1) require corporations registered with the Securities and Exchange Commission (SEC) to report annually, on a country-by country basis, on employees, pre-tax gross revenues, and payments made to governments; and (2) authorize a fine of up to $1 million for failure to disclose any holding or transaction involving equity or debt instruments known to involve a foreign entity that would otherwise be subject to disclosure requirements.

Requires the Secretary to publish a proposed rule in the Federal Register requiring investment advisors to establish anti-money laundering programs and submit suspicious activity reports.

Extends anti-money laundering requirements to persons engaged in the business of forming new businesses or other legal entities.

Requires federal banking agencies and the SEC to develop examination techniques to detect and prevent abusive tax shelter activities or the aiding or abetting of tax evasion by financial institutions.

Requires the Secretary to: (1) disclose tax return information to federal financial regulators for purposes of tax shelter investigations; (2) disclose to Congress documents relating to a determination to grant, deny, revoke, or restore the tax-exempt status of an organization; and (3) expand the standards applicable to tax practitioners for issuing written advice on transactions which have a potential for tax avoidance or evasion.

Cosponsors 67

Members who signed on, in the order they did. Signatures ran from Apr 15, 2013 to May 30, 2014; 53 are original cosponsors, there from the day it was introduced.

Seat	Cosponsor		Signed on
D-CA	Barbara Lee	Original	Apr 15, 2013
D-MN	Betty McCollum	Original	Apr 15, 2013
D-NJ	Bill Pascrell, Jr.	Original	Apr 15, 2013
D-IL	Bobby L. Rush	Original	Apr 15, 2013
D-CA	Brad Sherman	Original	Apr 15, 2013
D-NY	Brian Higgins	Original	Apr 15, 2013
D-MD	Chris Van Hollen	Original	Apr 15, 2013
D-IL	Daniel Lipinski	Original	Apr 15, 2013
D-IA	David Loebsack	Original	Apr 15, 2013
D-RI	David N. Cicilline	Original	Apr 15, 2013
D-CO	Diana DeGette	Original	Apr 15, 2013
D-NJ	Donald M. Payne, Jr.	Original	Apr 15, 2013
D-MD	Donna F. Edwards	Original	Apr 15, 2013
D-OR	Earl Blumenauer	Original	Apr 15, 2013
D-TX	Eddie Bernice Johnson	Original	Apr 15, 2013
D-MA	Edward J. Markey	Original	Apr 15, 2013
D-MD	Elijah E. Cummings	Original	Apr 15, 2013
D-MI	Gary C. Peters	Original	Apr 15, 2013
D-TX	Gene Green	Original	Apr 15, 2013
D-CA	George Miller	Original	Apr 15, 2013
D-WI	Gwen Moore	Original	Apr 15, 2013
D-GA	Henry C. "Hank" Johnson, Jr.	Original	Apr 15, 2013
D-MA	James P. McGovern	Original	Apr 15, 2013
D-VA	James P. Moran	Original	Apr 15, 2013
D-RI	James R. Langevin	Original	Apr 15, 2013
D-IL	Janice D. Schakowsky	Original	Apr 15, 2013
D-CA	Jared Huffman	Original	Apr 15, 2013
D-WA	Jim McDermott	Original	Apr 15, 2013
D-KY	John A. Yarmuth	Original	Apr 15, 2013
D-CT	John B. Larson	Original	Apr 15, 2013
D-MI	John Conyers, Jr.	Original	Apr 15, 2013
D-MI	John D. Dingell	Original	Apr 15, 2013
D-MA	John F. Tierney	Original	Apr 15, 2013
D-CA	John Garamendi	Original	Apr 15, 2013
D-GA	John Lewis	Original	Apr 15, 2013
D-CA	Judy Chu	Original	Apr 15, 2013
D-CA	Karen Bass	Original	Apr 15, 2013
D-MN	Keith Ellison	Original	Apr 15, 2013
D-NY	Louise McIntosh Slaughter	Original	Apr 15, 2013
D-IL	Luis V. Gutierrez	Original	Apr 15, 2013
D-MA	Michael E. Capuano	Original	Apr 15, 2013
D-MA	Niki Tsongas	Original	Apr 15, 2013
D-NY	Paul Tonko	Original	Apr 15, 2013
D-OR	Peter A. DeFazio	Original	Apr 15, 2013
D-VT	Peter Welch	Original	Apr 15, 2013
D-AZ	Raúl M. Grijalva	Original	Apr 15, 2013
D-CT	Rosa L. DeLauro	Original	Apr 15, 2013
D-NJ	Rush Holt	Original	Apr 15, 2013
D-CA	Sam Farr	Original	Apr 15, 2013
D-MA	Stephen F. Lynch	Original	Apr 15, 2013
D-TN	Steve Cohen	Original	Apr 15, 2013
D-FL	Theodore E. Deutch	Original	Apr 15, 2013
D-CA	Xavier Becerra	Original	Apr 15, 2013
D-PA	Chaka Fattah		May 16, 2013
D-OH	Marcia L. Fudge		May 16, 2013
D-NJ	Frank Pallone, Jr.		Dec 2, 2013
D-ME	Michael H. Michaud		Dec 2, 2013
D-ME	Chellie Pingree		Jan 29, 2014
D-NY	Jerrold Nadler		Feb 28, 2014
D-FL	Alcee L. Hastings		Mar 14, 2014
D-TX	Beto O'Rourke		Mar 14, 2014
D-PA	Allyson Y. Schwartz		Apr 30, 2014
D-DC	Eleanor Holmes Norton		Apr 30, 2014
D-CA	Grace F. Napolitano		Apr 30, 2014
D-PA	Matt Cartwright		Apr 30, 2014
D-CA	Raul Ruiz		Apr 30, 2014
D-IL	Bill Foster		May 30, 2014

Committees 2

Where it was sent and what each committee and subcommittee did with it, in order.

Chamber	Committee	What it did
House	Ways and Means Committee	Referred Apr 15, 2013
House	Financial Services Committee	Referred Apr 15, 2013

Actions 2

Everything that happened, newest first.

Apr 15, 2013Introduced in House
Apr 15, 2013Referred to the Committee on Ways and Means, and in addition to the Committee on Financial Services, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Research

What has been written about this bill: committee reports, cost estimates, the sponsor’s authority statement, printed hearings and the Congressional Research Service’s work.

Constitutional authority

Congress has the power to enact this legislation pursuant to the following: Clause 1 of Section 8 of Article I of the United States Constitution.

The sponsor’s statement, as printed in the page H2026.

CRS reports 2

Congressional Research Service work that CRS links to this bill or the law it became, newest first.

Cite it 2

Products on other subjects that cite it, usually among other measures.

Product	Title	Kind	Published
R43568	Corporate Expatriation, Inversions, and Mergers: Tax IssuesCorporate Expatriation, Inversions, and Mergers: Tax Issues Archived	Report	Jun 17, 2021
R43444	Reporting Foreign Financial Assets Under Titles 26 and 31: FATCA and FBAR Archived	Report	Mar 27, 2014

Related bills 5

Companion bills and other measures the record links to this one.

Bill	Title	Relationship	Latest action
S 268	CUT Loopholes Act	Related bill	Feb 11, 2013
S 1533	Stop Tax Haven Abuse Act	Related bill	Sep 19, 2013
S 1844	Military Retirement Restoration Act	Related bill	Dec 17, 2013
HR 3666	Sequester Delay and Stop Tax Haven Abuse Act	Related bill	Dec 5, 2013
HR 3793	Military Retirement Restoration Act	Related bill	Jan 24, 2014

Titles 2

Every title it has carried, official and short, at each stage.

Official Title as Introduced: To restrict the use of offshore tax havens and abusive tax shelters to inappropriately avoid Federal taxation, and for other purposes.
Short Titles as Introduced: Stop Tax Haven Abuse Act

Subjects

Assigned by the Library of Congress. Policy area: Taxation.

Text 1

Each version as it was printed, newest first.

Apr 15, 2013Introduced in House

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Everything here is as published by Congress: the summary is the Congressional Research Service's, the action wording is the clerks', and the subjects are the Library of Congress's. How far it got is read from the actions themselves, taking the most recent one of each kind, so a bill that failed a vote and later passed is shown as having passed. Records come from this bill on Congress.gov and govinfo.gov; cost estimates are the Congressional Budget Office's, and the hearings are the printed hearings GovInfo publishes, which can appear months after the hearing.