3.0.0 2156 2022-11-01T13:50:33Z 2022-11-01T13:50:33Z Senate S 2019-07-18 116 ssfi00 Finance Committee Senate Standing Referred to 2019-07-18T15:54:09Z S Corporation Modernization Act of 2020 116 5643 HR 2020-01-16 Referred to the House Committee on Ways and Means. Related bill CRS 2019-07-18 ssfi00 Finance Committee Senate Read twice and referred to the Committee on Finance. (text: CR S4950-4952) IntroReferral 2019-07-18 Introduced in Senate IntroReferral 10000 9 Library of Congress T000250 Sen. Thune, John [R-SD] John Thune R SD R. N C000141 Sen. Cardin, Benjamin L. [D-MD] Ben Cardin D MD 2019-07-18 True R000307 Sen. Roberts, Pat [R-KS] PAT ROBERTS R KS 2019-07-18 True 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 Taxation 00 2019-07-18 Introduced in Senate 2019-07-26T16:56:48Z 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.
]]> S Corporation Modernization Act of 2019 Display Title S Corporation Modernization Act of 2019 Short Title(s) as Introduced S Corporation Modernization Act of 2019 Introduced in Senate IS Official Title as Introduced A bill to amend the Internal Revenue Code of 1986 to provide for S corporation reform, and for other purposes. Introduced in Senate IS Introduced in Senate 2019-07-18T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-116s2156is/xml/BILLS-116s2156is.xml 2019-07-18 Read twice and referred to the Committee on Finance. (text: CR S4950-4952) text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Congressional Research Service, Library of Congress This file contains bill summaries and statuses for federal legislation. A bill summary describes the most significant provisions of a piece of legislation and details the effects the legislative text may have on current law and federal programs. Bill summaries are authored by the Congressional Research Service (CRS) of the Library of Congress. As stated in Public Law 91-510 (2 USC 166 (d)(6)), one of the duties of CRS is "to prepare summaries and digests of bills and resolutions of a public general nature introduced in the Senate or House of Representatives". For more information, refer to the User Guide that accompanies this file.