A bill to amend the Internal Revenue Code of 1954 to improve the collection of federal income taxes imposed on dividend and interest income.

[AI summary unavailable — showing source text] Amends the Internal Revenue Code to require the Internal Revenue Service (IRS) to compare quarterly tax returns filed on July 15 of each calendar year with dividend and interest income informational returns (form 1099) filed by corporations and financial institutions for the preceding calendar year to determine whether a taxpayer is fully complying with reporting requirements for dividend and interest income. Requires the IRS, in the case of unreported dividend and interest income, to mail a notice to a noncomplying taxpayer within 60 days of a determination of tax deficiency. Requires such notice to state: (1) that the IRS has determined that there is unreported dividend or interest income and the amount of the tax deficiency; and (2) that failure to pay such tax deficiency within 45 days will result in a tax penalty equal to 100 percent of the deficiency unless the taxpayer proves that the tax deficiency does not exist. Requires the IRS, in the case of taxpayers with unreported dividend and interest income who have not filed a timely return, to mail a notice to such taxpayer stating: (1) that the IRS has received informational returns indicating that the taxpayer has received div…