102 STAT. 3736 PUBLIC LAW 100-647—NOV. 10, 1988

any tax in installment payments if the Secretary determines that
such agreement will facilitate collection of such liability.
"(b) EXTENT TO WHICH AGREEMENTS REMAIN m EFFECT.—

"(1) IN GENERAL.—Except as otherwise provided in this
subsection, any agreement entered into by the Secretary under
subsection (a) shall remain in effect for the term of the agree-
ment.

"(2) INADEQUATE INFORMATION OR JEOPARDY.—The Secretary
may terminate any agreement entered into by the Secretary
under subsection (a) if—

"(A) information which the taxpayer provided to the
Secretary prior to the date such agreement was entered
into was inaccurate or incomplete, or

"(B) the Secretary believes that collection of any tax to
which an agreement under this section relates is in jeop-
ardy.
"(3) SUBSEQUENT CHANGE IN FINANCIAL CONDITIONS.—

"(A) IN GENERAL.—If the Secretary makes a determina-
tion that the financial condition of a taxpayer with whom
the Secretary has entered into an agreement under subsec-
tion (a) has significantly changed, the Secretary may alter,
modify, or terminate such agreement.

"(B) Nones.—Action may be taken by the Secretary
under sub-paragraph (A) only if—

"(I) notice of such determination is provided to the
taxpayer no later than 30 days prior to the date of such
action, and

"(ii) such notice includes the reasons why the Sec-
retary believes a significant change in the financial
condition of the taxpayer has occurred.
"(4) FAILURE TO PAY AN INSTALLMENT OR ANY OTHER TAX
LIABILITY WHEN DUE OR TO PROVIDE REQUESTED FINANCIAL
INFORMATION.—The Secretary may alter, modify, or terminate
an agreement entered into by the Secretary under subsection (a)
in the case of the failure of the taxpayer—

"(A) to pay any installment at the time such installment
payment is due under such agreement,

"(B) to pay any other tax liability at the time such
liability is due, or

"(C) to provide a financial condition update as requested
by the Secretary."
(b) CONFORMING AMENDMENTS.—

(1) Paragraph (1) of section 6601(b) of the 1986 Code (relating
to last day prescribed for payment) is amended by inserting "or
any installment agreement entered into under section 6159"
after "time for payment".

(2) The table of sections for subchapter A of chapter 62 of the
1986 Code is amended by adding at the end thereof the following
new item:

"Sec. 6159. Agreements for payment of tax liability in installments."

26 USC 6159 (c) EFFECTIVE DATE.—The amendments made by this section shall

note apply to agreements entered into after the date of the enactment of

this Act