Stop Subsidizing Multimillion Dollar Corporate Bonuses Act

3/14/2024, 4:05 AM

Stop Subsidizing Multimillion Dollar Corporate Bonuses Act

This bill extends the $1 million limit on the deductibility of executive compensation to all employees of publicly traded corporations.

Bill 118 hr 324, also known as the Stop Subsidizing Multimillion Dollar Corporate Bonuses Act, aims to address the issue of corporations using taxpayer subsidies to fund excessive executive bonuses. The bill was introduced in the US Congress with the goal of preventing companies from using government assistance, such as tax breaks or grants, to reward their top executives with exorbitant bonuses.

The legislation seeks to promote accountability and transparency in corporate governance by prohibiting companies that receive federal subsidies from using that money to pay bonuses exceeding $1 million to any individual executive. This measure is intended to ensure that taxpayer funds are not being misused to enrich corporate executives at the expense of the public.

Additionally, the bill includes provisions for increased reporting requirements for companies that receive federal subsidies, requiring them to disclose any bonuses paid to executives and the source of funding for those bonuses. This information will be made publicly available to promote greater transparency and oversight of corporate practices. Overall, the Stop Subsidizing Multimillion Dollar Corporate Bonuses Act aims to protect taxpayer dollars and promote fair and responsible corporate behavior by limiting the use of government assistance for excessive executive compensation. The bill is currently under consideration in Congress and has garnered bipartisan support for its efforts to address this important issue.
Congress
118

Number
HR - 324

Introduced on
2023-01-12

# Amendments
0

Sponsors
+5

Cosponsors
+5

Variations and Revisions

1/12/2023

Status of Legislation

Bill Introduced
Introduced to House
House to Vote
Introduced to Senate
Senate to Vote

Purpose and Summary

Stop Subsidizing Multimillion Dollar Corporate Bonuses Act

This bill extends the $1 million limit on the deductibility of executive compensation to all employees of publicly traded corporations.

Bill 118 hr 324, also known as the Stop Subsidizing Multimillion Dollar Corporate Bonuses Act, aims to address the issue of corporations using taxpayer subsidies to fund excessive executive bonuses. The bill was introduced in the US Congress with the goal of preventing companies from using government assistance, such as tax breaks or grants, to reward their top executives with exorbitant bonuses.

The legislation seeks to promote accountability and transparency in corporate governance by prohibiting companies that receive federal subsidies from using that money to pay bonuses exceeding $1 million to any individual executive. This measure is intended to ensure that taxpayer funds are not being misused to enrich corporate executives at the expense of the public.

Additionally, the bill includes provisions for increased reporting requirements for companies that receive federal subsidies, requiring them to disclose any bonuses paid to executives and the source of funding for those bonuses. This information will be made publicly available to promote greater transparency and oversight of corporate practices. Overall, the Stop Subsidizing Multimillion Dollar Corporate Bonuses Act aims to protect taxpayer dollars and promote fair and responsible corporate behavior by limiting the use of government assistance for excessive executive compensation. The bill is currently under consideration in Congress and has garnered bipartisan support for its efforts to address this important issue.
Alternative Names
Official Title as IntroducedTo amend the Internal Revenue Code of 1986 to expand the denial of deduction for certain excessive employee remuneration, and for other purposes.

Policy Areas
Taxation

Potential Impact
Administrative law and regulatory procedures
Business expenses
Corporate finance and management
Department of the Treasury
Income tax deductions
Wages and earnings

Comments

Recent Activity

Latest Summary1/30/2023

Stop Subsidizing Multimillion Dollar Corporate Bonuses Act

This bill extends the $1 million limit on the deductibility of executive compensation to all employees of publicly traded corporations.


Latest Action1/12/2023
Referred to the House Committee on Ways and Means.