BAD IRS Activities Act

This bill (S 123) modifies IRS reporting requirements for third-party payment networks. It sets new thresholds requiring reporting only for transactions exceeding $20,000 in total value or 200 individual transactions, reducing reporting burdens for smaller payments. The bill directly affects payment processors (like PayPal or credit card companies) that handle transactions for businesses. Additionally, it rescinds unobligated IRS enforcement and operations funds from prior legislation, effective upon enactment. The key policy change simplifies reporting obligations for lower-volume transactions while reducing specific IRS funding.