H.R. 10330 — Higher Education Oversight for Nonprofits Ensuring Standards and Transparency Act

This section restricts the Secretary of the Treasury from initiating university tax inquiries unless a high-level Treasury official reasonably believes (recorded in writing) that the university may not qualify for income exclusion under section 115, tax exemption under section 501(a), or may be engaged in an unrelated trade or business. It requires written notice of concerns and rights before any inquiry, limits examinations to necessary records or activities after a prior inquiry and at least 15 days’ notice with a conference opportunity, and requires completion of any inquiry or examination within two years.