0
0

DITCH Act

12/29/2022, 9:03 AM

Congressional Summary of S 5178

Dump Investments in Troublesome Communist Holdings Act or the DITCH Act

This bill denies an organization a tax exemption if it holds any interest in a disqualified Chinese company or fails to timely transmit required annual reports. A disqualified Chinese company is any corporation incorporated in China, or that invests more than 10% of its stock in certain Chinese entities, including entities controlled by the Chinese Communist Party.

The Department of the Treasury may grant organizations a waiver of the denial of the tax exemption under specified circumstances.

Organizations that hold any interest in a disqualified Chinese company must file annual reports describing each interest held in the company, the period during which such interest was held, and whether the organization has been granted a waiver.

Current Status of Bill S 5178

Bill S 5178 is currently in the status of Bill Introduced since December 1, 2022. Bill S 5178 was introduced during Congress 117 and was introduced to the Senate on December 1, 2022.  Bill S 5178's most recent activity was Read twice and referred to the Committee on Finance. as of December 1, 2022

Bipartisan Support of Bill S 5178

Total Number of Sponsors
1
Democrat Sponsors
0
Republican Sponsors
1
Unaffiliated Sponsors
0
Total Number of Cosponsors
0
Democrat Cosponsors
0
Republican Cosponsors
0
Unaffiliated Cosponsors
0

Policy Area and Potential Impact of Bill S 5178

Primary Policy Focus

Taxation

Alternate Title(s) of Bill S 5178

DITCH Act
DITCH Act
Dump Investments in Troublesome Communist Holdings Act
A bill to impose restrictions on the investment in Chinese companies by tax-exempt entities.

Comments