Page:United States Statutes at Large Volume 90 Part 2.djvu/226

 90 STAT. 1694

PUBLIC LAW 94-455—OCT. 4, 1976 Off, •

" (B) misrepresented his eligibility to practice before the I n t e r n a l Revenue Service, or otherwise misrepresented his experience or education as an income tax r e t u r n preparer, A-m' ^ " (C) guaranteed the payment of any tax refund or the allowance of any tax credit, or " (D) engaged in any other fraudulent or deceptive con.'. - > • •, duct which substantially interferes with the proper administration of the I n t e r n a l Revenue laws, and " (2) that injunctive relief is a p p r o p r i a t e to prevent the recurjfi.- 'i. vi.;-' rence of such conduct, the court may enjoin such person from further engaging in such conduct. I f the court finds that an income tax return preparer has continually or repeatedly engaged in any conduct described in subparagraph s (A) through (D) of this subsection and that an injunction prohibiting such conduct would not be sufficient to prevent such person's interference with the proper administration of this title, the court may enjoin such person from acting as an income tax return preparer. " (c) BOND TO STAY iNJUNCTioisr.—No action to enjoin under subsection (b)(1)(A) shall be commenced or pursued with respect to any income tax return preparer who files and maintains, with the Secretary in the internal revenue district in which is located such preparer's legal residence or principal place of business, a bond in a sum of $50,000 as surety for the payment of penalties under section Ante, p. 1689; 6694 and 6695." Post, p. 1878;

(h)

Ante, p. 1692. 26 USC 6503. 26 USC 6504. ' 26 USC 6511. ' ' >'"• ' ' '

CROSS REFERENCES.—

(1) Section 6503(h), as redesignated by this Act, is amended by adding at the end thereof the following new paragraph: "(4) Income tax return preparers, see section 6694(c)(3)." (2) Section 6504, as amended by this Act, is amended by a d d i n g at the end thereof the following new paragraph: "(11) Assessment of civil penalties under section 6694 or 6695, see section 6696(d)(1)." (3) Section 6511(g) is amended by adding at the end thereof the following new paragraph: "(7) For a period of limitations for refund of an overpayment of penalties imposed under section 6694 or 6695, see section 6696(d)(2).'' (i)

CONFORMING AMENDMENTS. —

(1) The table of subparts for part III of suchapter A of chapter 61 is amended by adding at the end thereof the following new item: "Subpart F. Information concerning income tax return preparers." (2) The table of sections for subchapter B of chapter 61 is amended by inserting immediately after the item relating to section 6106 the following new item: "Sec. 6107. Income tax return preparer must furnish copy of return to taxpayer and must retain a copy or list." (3) The table of sections for subchapter B of chapter 68 is amended by adding at the end thereof the following new items: "Sec. 6694. Understatement of taxpayer's liability by income tax return preparer. "Sec. 6695. Other assessable penalties with respect to the preparation of •i., income tax returns for other persons. "Sec. 6696. Rules applicable with respect to sections 6694 and 6695."

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