Public Law 119-73 (01/23/2026)

5 U.S.C. § 9505

Performance awards for senior executives

(a)
Before , Internal Revenue Service senior executives who have program management responsibility over significant functions of the Internal Revenue Service may be paid a performance bonus without regard to the limitation in section 5384(b)(2) if the Secretary of the Treasury finds such award warranted based on the executive’s performance.
(b)
In evaluating an executive’s performance for purposes of an award under this section, the Secretary of the Treasury shall take into account the executive’s contributions toward the successful accomplishment of goals and objectives established under the Government Performance and Results Act of 1993, subtitle III of title 40, Revenue Procedure 64–22 (as in effect on ), taxpayer service surveys, and other performance metrics or plans established in consultation with the Internal Revenue Service Oversight Board.
(c)
Any award in excess of 20 percent of an executive’s rate of basic pay shall be approved by the Secretary of the Treasury.
(d)
Notwithstanding section 5384(b)(3), the Secretary of the Treasury shall determine the aggregate amount of performance awards available to be paid during any fiscal year under this section and section 5384 to career senior executives in the Internal Revenue Service. Such amount may not exceed the maximum amount which would be allowable under paragraph (3) of section 5384(b) if such paragraph were applied by substituting “the Internal Revenue Service” for “an agency”. The Internal Revenue Service shall not be included in the determination under section 5384(b)(3) of the aggregate amount of performance awards payable to career senior executives in the Department of the Treasury other than the Internal Revenue Service.
(e)
section 104 of title 3 Notwithstanding section 5307, a performance bonus award may not be paid to an executive in a calendar year if, or to the extent that, the executive’s total annual compensation will exceed the maximum amount of total annual compensation payable at the rate determined under .

Pub. L. 105–206, title I, § 1201(a)112 Stat. 713Pub. L. 107–217, § 3(a)(2)116 Stat. 1295Pub. L. 108–7, div. J, title VI, § 645(a)117 Stat. 474Pub. L. 110–161, div. D, title I, § 106121 Stat. 1977Pub. L. 113–6, div. F, title III, § 1309127 Stat. 418(Added , , ; amended , , ; , , ; , , ; , , .)

Editorial Notes

References in Text

Pub. L. 103–62107 Stat. 285section 306 of this titlesection 1105 of Title 31section 1101 of Title 31The Government Performance and Results Act of 1993, referred to in subsec. (b), is , , , which enacted , sections 1115 to 1119, 9703, and 9704 of Title 31, Money and Finance, and sections 2801 to 2805 of Title 39, Postal Service, amended , and enacted provisions set out as notes under sections 1101 and 1115 of Title 31. For complete classification of this Act to the Code, see Short Title of 1993 Amendment note set out under and Tables.

Amendments

Pub. L. 113–62013—Subsec. (a). substituted “Before ” for “Before ”.

Pub. L. 110–1612007—Subsec. (a). substituted “Before ” for “For a period of 10 years after the date of enactment of this section”.

Pub. L. 108–72003—Subsec. (d). substituted “Such amount may not exceed the maximum amount which would be allowable under paragraph (3) of section 5384(b) if such paragraph were applied by substituting ‘the Internal Revenue Service’ for ‘an agency’.” for “Such amount may not exceed an amount equal to 5 percent of the aggregate amount of basic pay paid to career senior executives in the Internal Revenue Service during the preceding fiscal year.”

Pub. L. 107–217Public Law 104–106110 Stat. 6792002—Subsec. (b). substituted “subtitle III of title 40” for “division E of the Clinger-Cohen Act of 1996 (; )”.

Statutory Notes and Related Subsidiaries

Effective Date of 2003 Amendment

Pub. L. 108–7, div. J, title VI, § 645(b)117 Stat. 474

“The amendment made by subsection (a) [amending this section] shall apply with respect to fiscal years beginning after .”
, , , provided that: