Taxpayer Notification and Privacy Act of 2025

This bill, titled the "Taxpayer Notification and Privacy Act of 2025," amends the Internal Revenue Code of 1986 to modify procedures for the Internal Revenue Service (IRS) when seeking information from third parties. It aims to provide taxpayers with greater transparency and an opportunity to respond before such third-party contacts occur. Specifically, if the information the IRS intends to obtain from third parties could reasonably be provided by the taxpayer, the IRS must now identify each specific item of information it plans to seek. Furthermore, the bill mandates that taxpayers receive a minimum of 45 days to provide this information themselves, or more if they show reasonable cause, before the IRS contacts other persons. An exception is included, stating that the requirement to identify specific items of information does not apply if the Secretary determines that the information sought from a third party is necessary , regardless of whether the taxpayer could independently provide it. These changes will apply to notices provided 12 months after the bill's enactment.