Protecting Taxpayers from Ghost Preparers Act

Normally, the IRS has three years after a tax return is filed to check it and collect any taxes owed. But there's an exception for false or fraudulent returns meant to cheat on taxes — in those cases, there's no time limit. Different courts have disagreed about whether this unlimited time applies when a tax preparer puts false information on a return without the taxpayer knowing about it. This bill says the IRS can only use the unlimited time rule when the taxpayer themselves intended to cheat on their taxes, not when a tax preparer acted on their own without the taxpayer's knowledge.

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