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H.R. 9736: Stop Corporations and High Earners from Avoiding Taxes and Enforce the Rules Strictly Act

This bill would give the Internal Revenue Service extra money over several years to help it collect taxes more effectively, update its technology, and improve taxpayer services.

What the bill funds

Tax enforcement: The IRS would receive additional funding each fiscal year from 2026 through 2031 for activities like finding and collecting taxes that are owed, providing legal and litigation support, conducting criminal investigations, and enforcing tax-related and other financial crime laws.
Taxpayer services: The bill would also provide extra money for help to taxpayers, including pre-filing assistance, education, filing and account services, and taxpayer advocacy services.
Technology and operations: It would provide additional funding to modernize outdated IRS technology and improve the agency’s ability to detect fraud and noncompliance.
Business systems modernization: The IRS would get extra funding to improve its business systems modernization program, but not to operate or maintain legacy systems.

How much money is provided

The bill sets specific additional amounts for each fiscal year from 2026 to 2031. For enforcement, the amounts rise from $3.6 billion in 2026 to $12.2 billion in 2031. For taxpayer services, the amounts range from $1.4 billion to $1.7 billion per year. For technology and operations support, the amounts range from $900 million in 2026 to $5.9 billion in 2031. For business systems modernization, the amounts range from $300 million to $1 billion per year. The money would remain available until it is spent.

What the IRS would be required to report

The bill would require the IRS Commissioner to send Congress a report within one year after enactment, and then every two years after that. The report would need to describe:

a plan to shift more IRS auditing and enforcement resources toward high-income individuals and large corporations;
a plan to recruit and keep auditors with the skills needed to audit those taxpayers;
a plan to increase voluntary compliance by high-income individuals and large corporations;
the progress made on those plans; and
an analysis of how much of the gap between taxes owed and taxes actually collected is due to taxpayers at different income levels, including high-income individuals and large corporations.

The Treasury Inspector General for Tax Administration would also have to review the IRS plan and report to Congress on the progress the IRS has made, starting one year after the first IRS report and then every two years after that.