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S 2156 116th Congress Senate Taxation Capital gains tax Corporate finance and management Employee benefits and pensions Financial services and investments Income tax deductions Income tax rates Sales and excise taxes Securities Small business Tax administration and collection, taxpayers

S Corporation Modernization Act of 2019

Introduced: July 18, 2019 Introduced by: Thune, John Republican · South Dakota See on congress.gov
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 Everywhere this bill has been 2 steps
Introduced
In committee
Reported out
Passed House
Passed Senate
To President
Became law
Jul 18, 2019
Read twice and referred to the Committee on Finance. (text: CR S4950-4952)
Jul 18, 2019
Introduced in Senate
 Plain-English summary Congressional Research Service

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.
What's happening now July 18, 2019

Read twice and referred to the Committee on Finance. (text: CR S4950-4952)

 Committees of jurisdiction 1