Rep. Huffman Introduces Legislation to Close Liar’s Loophole; Hold Presidential Candidates Accountable for their Tax History

September 15, 2016

Washington, D.C.- Congressman Jared Huffman (D-San Rafael) today introduced legislation to ensure a presidential or vice presidential candidate state the truth about their tax history as part of the required financial disclosure process.

“The American people deserve to evaluate their options in a presidential election fully informed about the candidates’ financial ties, yet the current system allows candidates to provide what could be a trumped-up excuse for hiding their tax returns by claiming a pending IRS audit, whether or not that is actually happening,” said Rep. Huffman. “My legislation would close this ‘liar’s loophole’ by requiring the IRS to disclose whether a presidential candidate is subject to any pending tax audits. The stakes of a presidential election are too high to allow a candidate to hide from disclosing their tax returns by giving an excuse that cannot even be verified under current law.”

Huffman’s legislation would add a new requirement to the financial disclosure reports that presidential and vice presidential candidates must file: a statement obtained from Secretary of the Treasury regarding whether or not the Internal Revenue Service is in the process of auditing any of the candidate’s individual Federal income tax returns. Under current law, the IRS cannot publicize whether an audit of a taxpayer is underway, meaning that there is no way for the public to know if presidential or vice presidential candidates are lying about whether specific years’ tax returns are under audit.

For the current presidential candidates, the disclosure of such a statement would be due by September 26, 2016.

The legislation is cosponsored by Representatives Jared Polis (D-CO), Sheila Jackson-Lee (D-TX), Grace Napolitano (D-CA), Timothy Walz (D-MN), Joe Courtney (D-CT), Alan Lowenthal (D-CA), James McGovern (D-MA), Katherine Clark (D-MA), Julia Brownley (D-CA), Louis M. Slaughter (D-NY), Rick Larsen (D-WA), Mark Pocan (D-WI), Eric Swalwell (D-CA), William Lacy Clay Jr. (D-MO), Elijah Cummings (D-MD), Dave Loebsack (D-IA), Denny Heck (D-WA), Emanuel Cleaver II (D-MO), Juan Vargas (D-CA), Mark DeSaulnier (D-CA), Elizabeth Esty (D-CT), Keith Ellison (D-MN), Gene Green (D-TX), Patrick Murphy (D-FL), Matt Cartwright (D-PA), Tim Ryan (D-OH), Collin Peterson (D-MN), Peter DeFazio (D-OR), Gregory W Meeks (D-NY), Michael Capuano (D-MA), Pete Aguilar (D-CA), Lois Frankel (D-FL), Zoe Lofgren (D-CA), Bill Pascrell (D-NJ), Ed Perlmutter (D-CO), Mike Doyle (D-PA), Mike Thompson (D-CA), Raul M Grijalva (D-AZ), John Lewis (D-GA), Linda Sanchez (D-CA), and Raul Ruiz (D-CA).

You can read the full text of the bill here.

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