Stop CHEATERS Act
- Sponsor
- Sen. King, Angus S., Jr. [I-ME]
- Committees
- Finance Committee (primary)
- Last action
- Apr 15, 2026
Bottom line
This bill provides substantial, multi-year funding to the IRS to enhance its technological capabilities and significantly boost its capacity to audit and collect taxes from high-income individuals and large corporations, while also improving services for all taxpayers.
What it actually does
This bill appropriates a total of $83.7 billion to the Internal Revenue Service (IRS) over six fiscal years (FY2026-FY2031). These funds are allocated across four key areas: tax enforcement, taxpayer services, technology and operations support, and business systems modernization. The legislation also mandates regular reports from the IRS Commissioner and the Treasury Inspector General for Tax Administration on plans and progress to increase enforcement and compliance among high-income individuals and large corporations.
Proponents argue
Supporters argue this bill is essential to close the 'tax gap' by giving the IRS the resources needed to pursue complex tax evasion schemes often employed by wealthy individuals and large corporations. They contend that increased enforcement will generate significant revenue, far outweighing the investment, and will create a fairer tax system by ensuring everyone pays their share. They also highlight the importance of modernizing IRS technology to improve efficiency and taxpayer experience for all.
Opponents contend
Opponents might argue that such a large increase in IRS funding could lead to overreach and harassment of ordinary taxpayers, even if the stated focus is on high-income earners. They may express concerns about the potential for government agencies to become too powerful or intrusive, and question the efficiency and effectiveness of such a large appropriation without more specific oversight mechanisms. Some may also argue that the funds could be better used elsewhere or that tax collection should be streamlined through comprehensive tax reform rather than increased enforcement.
The bill is very short and straightforward, making it highly accessible for a reader to understand its core provisions quickly.
Section 2(a)
Enhanced Funding for Tax Enforcement
This provision appropriates a total of $45.6 billion to the IRS over six fiscal years (FY2026-FY2031) specifically for tax enforcement activities. These funds are intended to support efforts to determine and collect owed taxes, provide legal and litigation support, conduct criminal investigations, and enforce criminal statutes related to tax and financial crimes, with a stated focus on high-income individuals and large corporations.
Supporters argue
Supporters argue this funding is crucial to combat sophisticated tax evasion by the wealthiest taxpayers and largest corporations, which contributes significantly to the national tax gap. They contend it will ensure a fairer tax system and generate substantial net revenue for the government.
Critics contend
Critics may argue that such a large increase in enforcement could lead to an overly aggressive IRS, potentially impacting individuals and businesses beyond the stated high-income focus. Concerns about government overreach and potential for harassment could be raised.
Tradeoffs
The tension lies between the goal of increased tax collection and the potential for increased scrutiny and burden on taxpayers, even if targeted.
Section 2(b)
Increased Funding for Taxpayer Services
This provision allocates $9.6 billion to the IRS over six fiscal years (FY2026-FY2031) to improve taxpayer services. This includes funding for pre-filing assistance and education, filing and account services, and taxpayer advocacy services, aiming to enhance the overall experience for taxpayers interacting with the IRS.
Section 2(c)
Overhaul of IRS Technology and Operations
This provision appropriates $25.4 billion over six fiscal years (FY2026-FY2031) for the IRS's 'Operations Support' account. The funds are specifically designated to overhaul outdated technology and improve the agency's capacity to detect fraud and noncompliance, which is critical for both enforcement and service delivery.
Section 2(d)
Dedicated Funding for Business Systems Modernization
This provision allocates $3.1 billion over six fiscal years (FY2026-FY2031) specifically for the IRS's business systems modernization program. These funds are distinct from general operations support and are intended for developing new, modern business systems, explicitly excluding the operation and maintenance of older, legacy systems.
Section 3(a) and 3(b)
Mandated Reports on Enforcement Strategy and Tax Gap Analysis
This section mandates that the IRS Commissioner submit biennial reports to Congress detailing a plan to shift auditing and enforcement assets towards high-income individuals and large corporations, including strategies for recruitment, retention, and increasing voluntary compliance among these groups. The reports must also analyze the tax gap attributable to different income levels. Additionally, the Treasury Inspector General for Tax Administration is required to submit biennial reports evaluating the IRS's plan and progress.