Senate Bill 2156
116th Congress(2019-2020)
S Corporation Modernization Act of 2019
Introduced
Introduced in Senate on Jul 18, 2019
Origin Chamber
Senate
Type
Bill
Bill
The primary form of legislative measure used to propose law. Depending on the chamber of origin, bills begin with a designation of either H.R. or S. Joint resolution is another form of legislative measure used to propose law.
Bill Number
2156
Congress
116
Policy Area
Taxation
Taxation
Primary focus of measure is all aspects of income, excise, property, inheritance, and employment taxes; tax administration and collection. Measures concerning state and local finance may fall under Economics and Public Finance policy area.
No Senate votes have been held for this bill.
Summary
S Corporation Modernization Act of 2019
This bill modifies the tax treatment of S corporations (pass thru entities) to
- increase from 25% to 60% of S corporation gross receipts the threshold for taxing S corporations with passive investment income;
- eliminate a provision terminating the status of S corporations with excessive passive investment income for three consecutive years;
- permit S corporations to have individual retirement accounts as shareholders;
- allow an adjustment to the basis of an S corporation's assets upon the death of a shareholder, in the form of a 15-year amortization deduction; and
- permit the Internal Revenue Service to treat a late revocation of S corporation status as timely if it finds there was reasonable cause for failure to make a timely revocation.
July 18, 2019
07/18/2019
Read twice and referred to the Committee on Finance. (text: CR S4950-4952)
07/18/2019
Introduced in Senate
Public Record
Record Updated
Nov 1, 2022 1:50:33 PM