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Stock Buyback Accountability Act of 2023
3/12/2024, 1:11 AM
Summary of Bill S 413
Bill 118 s 413, also known as the Stock Buyback Accountability Act of 2023, is a piece of legislation currently being considered by the US Congress. The main purpose of this bill is to increase transparency and accountability in the practice of stock buybacks by publicly traded companies.
Under the provisions of the bill, companies would be required to disclose detailed information about their stock buyback plans, including the amount of stock being repurchased, the timing of the buybacks, and the rationale behind the decision to repurchase stock. This information would need to be reported to the Securities and Exchange Commission (SEC) and made available to the public.
Additionally, the bill aims to prevent companies from engaging in stock buybacks that are deemed to be manipulative or harmful to shareholders. It includes provisions that would prohibit companies from repurchasing stock during certain blackout periods, such as when insiders are selling their own shares, and would require companies to seek shareholder approval for large buyback programs. Overall, the Stock Buyback Accountability Act of 2023 seeks to promote greater transparency and accountability in the practice of stock buybacks, with the goal of protecting the interests of shareholders and ensuring that companies are acting in the best interests of their investors.
Under the provisions of the bill, companies would be required to disclose detailed information about their stock buyback plans, including the amount of stock being repurchased, the timing of the buybacks, and the rationale behind the decision to repurchase stock. This information would need to be reported to the Securities and Exchange Commission (SEC) and made available to the public.
Additionally, the bill aims to prevent companies from engaging in stock buybacks that are deemed to be manipulative or harmful to shareholders. It includes provisions that would prohibit companies from repurchasing stock during certain blackout periods, such as when insiders are selling their own shares, and would require companies to seek shareholder approval for large buyback programs. Overall, the Stock Buyback Accountability Act of 2023 seeks to promote greater transparency and accountability in the practice of stock buybacks, with the goal of protecting the interests of shareholders and ensuring that companies are acting in the best interests of their investors.
Congressional Summary of S 413
Stock Buyback Accountability Act of 2023
This bill increases from 1% to 4% the rate of the excise tax on the repurchase of corporate stock.
Read the Full Bill
Current Status of Bill S 413
Bill S 413 is currently in the status of Bill Introduced since February 14, 2023. Bill S 413 was introduced during Congress 118 and was introduced to the Senate on February 14, 2023. Bill S 413's most recent activity was Read twice and referred to the Committee on Finance. as of February 14, 2023
Bipartisan Support of Bill S 413
Total Number of Sponsors
1Democrat Sponsors
1Republican Sponsors
0Unaffiliated Sponsors
0Total Number of Cosponsors
16Democrat Cosponsors
16Republican Cosponsors
0Unaffiliated Cosponsors
0Policy Area and Potential Impact of Bill S 413
Primary Policy Focus
TaxationAlternate Title(s) of Bill S 413
Stock Buyback Accountability Act of 2023
Stock Buyback Accountability Act of 2023
A bill to amend the Internal Revenue Code of 1986 to increase the rate of the excise tax on the repurchase of corporate stock, and for other purposes.
Comments
Sponsors and Cosponsors of S 413
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