Page:United States Statutes at Large Volume 90 Part 2.djvu/219

 PUBLIC LAW 94-455—OCT. 4, 1976

90 STAT. 1687

not exceeding $5,000, or imprisonment of not more than 5 years, or both, together with the costs of prosecution. " (4) SOLICITATION.—It shall be unlawful for any person to offer any item of material value in exchange for any return or return information (as defined i n section 6103(b)) and to receive as a Ante, p. 1668. result of such solicitation any such return or return information. Any violation of this paragraph shall be a felony punishable by a fine i n any amount not exceeding $5,000, or imprisonment of not more than 5 years, or both, together with the costs of prosecution. " (5) SHAREHOLDERS.—It shall be unlawful for any person to whom a return or return information (as defined in section 6103 (b)) is disclosed pursuant to the provisions of section 6103(e)(1) (D) (iii) to disclose such return or return information in any i manner not provided by law. Any violation of this paragraph shall be a felony punishable by a fine in any amount not to exceed $5,000, or imprisonment of not more than 5 years, or both, together with the costs of prosecution." (e) CrviL DAMAGES FOR UNAUTHORIZED DISCLOSURE OF R E T U R N S AND R E T U R N INFORMATION.—

(1) IN GENERAL.—Part I of subchapter A of chapter 75 (relati n g to miscellaneous penalties and forfeitures) is amended by a d d i n g a t the end thereof the following new section: "SEC. 7217. CIVIL DAMAGES FOR UNAUTHORIZED DISCLOSURE OF 26 USC 7217. RETURNS AND RETURN INFORMATION. " (a) GENERAL RULE.—Whenever any person knowingly, or by reason of negligence, discloses a return or r e t u r n information (as defined in section 6103(b)) with respect to a taxpayer in violation of the provisions of section 6103, such taxpayer may bring a civil action for damages against such person, and the district courts of the United States shall have jurisdiction of any action commenced under the provisions of this section. " (b) DAMAGES.—In any suit brought under the provisions of subsection (a), upon a finding of liability on the part of the defendant, the defendant shall be liable to the plaintiff in an amount equal to the sum of— " (1) actual damages sustained by the plaintiff as a result of the unauthorized disclosure of the r e t u r n or return information and, in the case of a willful disclosure or a disclosure which is the result of gross negligence, punitive damages, but in no case shall a plaintiff entitled to recovery receive less than the sum of $1,000 with respect to each instance of such unauthorized disclosure; and " (2) the costs of the action. " (c) A n action to enforce any liability created under this section may be brought, without regard to the amount in controversy, within 2 years from the date on which the cause of action arises or at any time within 2 years after discovery by the plaintiff of the unauthorized disclosure." (2) CONFORMING AMENDMENT.—The table of sections for such

part is amended by a d d i n g at the end thereof the following new item: "Sec. 7217. Civil damages for unauthorized disclosure of returns and return information." (f)

PROCESSING OF R E T U R N S, R E T U R N INFORMATION, AND OTHER

DOCUMENTS.—Section 7513 (relating to reproduction of returns and 26 USC 7513. other documents) is amended by striking out subsection (c) and redesignating subsection (d) as subsection (c).

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