[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4970 Introduced in House (IH)]

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114th CONGRESS
  2d Session
                                H. R. 4970

   To amend the Internal Revenue Code of 1986 to restrict the use of 
          prepaid debit cards in the issuance of tax refunds.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 15, 2016

  Mr. Salmon introduced the following bill; which was referred to the 
                      Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to restrict the use of 
          prepaid debit cards in the issuance of tax refunds.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Individual Refund Security Act''.

SEC. 2. RESTRICTION ON USE OF PREPAID DEBIT CARDS IN ISSUING TAX 
              REFUNDS.

    (a) In General.--Section 6402 of the Internal Revenue Code of 1986 
is amended by adding at the end the following new subsection:
    ``(n) In General.--In the case of a refund of overpayment for any 
taxable year, such refund may be made to a prepaid debit card only if--
            ``(1) the identity of the account holder has been verified 
        by an officer or employee of the Department of the Treasury, 
        and
            ``(2) such refund is made not earlier than the date which 
        is 21 days after the date on which the return of tax for such 
        taxable year is filed.
The verification under paragraph (1) shall be conducted in the same 
manner as, prior to the date of the enactment of this subsection, 
employees of the Department of the Treasury verified the identity of 
account holders who there was reason to suspect had been the victim of 
identity theft.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to refunds of overpayments with respect to taxable years beginning 
after December 31, 2016.
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