Promotion and Expansion of Private Employee Ownership Act of 2019
- Last Action
- 4/10/2019
Actions
- 2019-04-10Referred to the Committee on Ways and Means, and in addition to the Committees on Education and Labor, and Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2019-04-10Referred to the Committee on Ways and Means, and in addition to the Committees on Education and Labor, and Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2019-04-10Referred to the Committee on Ways and Means, and in addition to the Committees on Education and Labor, and Small Business, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2019-04-10Introduced in House
- 2019-04-10Introduced in House
CRS Summary
As of 2019-04-10 (00)
Promotion and Expansion of Private Employee Ownership Act of 2019
This bill expands tax incentives and federal assistance for employee stock ownership plans (ESOPs) that are sponsored by S corporations.
The bill provides additional tax incentives for ESOPs by (1) extending to all domestic corporations, including S corporations, provisions allowing deferral of tax on gain from the sale of employer securities to an ESOP; and (2) allowing a tax deduction for 50% of the interest received by a bank on loans to S corporation-sponsored ESOPs for the purchase of employer securities.
The Department of the Treasury must establish the S Corporation Employee Ownership Assistance Office to foster increased employee ownership of S corporations.
The bill defines an "ESOP business concern" and allows such a concern to continue to qualify as a small business for the purposes of programs under the Small Business Act. An "ESOP business concern" is a business concern that was a small business concern eligible for a loan, preference, or other program under the Small Business Act before more than 49% of the business concern was acquired by an ESOP.
Cosponsors (20)
- Jason Smith (R-MO)
- EARL BLUMENAUER (D-OR)
- Mike Kelly (R-PA)
- Tom Reed (R-NY)
- WILLIAM PASCRELL (D-NJ)
- Robin Kelly (D-IL)
- Ralph Norman (R-SC)
- Brian Fitzpatrick (R-PA)
- Brad Wenstrup (R-OH)
- Glenn Thompson (R-PA)
- Susan Wild (D-PA)
- Peter Welch (D-VT)
- Chellie Pingree (D-ME)
- Jared Golden (D-ME)
- Ron Estes (R-KS)
- Rodney Davis (R-IL)
- David Loebsack (D-IA)
- Van Taylor (R-TX)
- Dean Phillips (D-MN)
- Brendan Boyle (D-PA)
Subjects
- Capital gains tax
- Department of the Treasury
- Employee benefits and pensions
- Executive agency funding and structure
- Income tax deductions
- Income tax deferral
- Interest, dividends, interest rates
- Securities
- Small business
Sourced from Congress.gov (public domain).
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.