A bill to amend the Internal Revenue Code of 1954 to provide for the recovery of reasonable attorneys' fees, as a part of court costs, in civil cases involving the internal revenue laws.

Provides that in any proceeding before the Tax Court for the redetermination of a deficiency, the prevailing party may be awarded a judgment of costs to the same extent as is provided for civil actions brought against the United States.

States that a judgment of costs entered by the Tax Court shall be treated, for purposes of this Act in the same manner: (1) as an overpayment of tax, in the case of a judgment of costs in favor of the petitioner, and (2) as an underpayment of tax, in the case of a judgment of costs against the petitioner.

Provides that interest or penalty shall be allowed or assessed with respect to any judgment of costs. (Adds 26 U.S.C. 7465)