A bill to amend section 616(b) of the Internal Revenue Code of 1954 (relating to extension of time for paying tax) to require repayment of deficiencies by installments in cases of undue hardship.

Provides, under the Internal Revenue Code, for the extension of time for paying specified taxes if it is shown that: (1) the taxpayer does not have sufficient assets in excess of the amount of assets he requires to subsist and to conduct his business, if any, which he can convert into an amount of money sufficient to pay the entire amount of the definiency; and (2) the taxpayer cannot borrow at a reasonable rate of interest an amount of money sufficient to pay the entire amount of the deficiency; and (3) the taxpayer provides the Secretary of the Treasury or his delegate with a complete statement of his financial work.

Prescribes the manner of payment when such a time extension is made. States that the amendments made by this Act apply to deficiencies for taxable years beginning after December 31, 1974.