|Introduced in House||Passed House||Introduced in Senate||Passed Senate||To President||Became Law|
2019 ESOP Fairness Act
116 HR 5851 IH: 2019 ESOP Fairness Act U.S. House of Representatives 2020-02-11 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. 1. This Act may be cited as the. 2019 ESOP Fairness Act 2. (a) Paragraph (35) of section 401(a)of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph: (I) For purposes of this paragraph— (i) The term publicly traded employer securitiesmeans employer securities which are readily tradable on an established securities market. (ii) A security shall be treated as described in clause (i) if the security— (I) is the subject of priced quotations by at least 2 dealers, published and made continuously available on an interdealer quotation system (as such term is used in section 13 of the Securities Exchange Act of 1934) which has made the request described in section 6(j) of such Act to be treated as an alternative trading system, (II) is not a penny stock (as defined by section 3(a)(51) of such Act), (III) is issued by a company which is not a shell company (as such term is used in section 4(d)(6) of the Securities Act of 1933) or a blank check company (as defined in section 7(b)(3) of such Act), and is not subject to bankruptcy proceedings, (IV) in the case of a security issued by a company incorporated in the United States, the issuer publishes, not less frequently than annually, financial statements audited by an independent auditor registered with the Public Company Accounting Oversight Board established under the Sarbanes-Oxley Act of 2002, and (V) in the case of a security issued by a company incorporated outside of the United States, the issuer— (aa) is subject to the reporting requirements of sections 13 or 15(d) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78mor 78o(d)), (bb) is subject to the reporting requirements of section 230.257 of title 17, Code of Federal Regulations, or (cc) is exempt from such requirements under section 240.12g3–2(b) of title 17, Code of Federal Regulations, and has published all information which is required by such Act or Rule, as applicable, to be publicly available. . (b) Subparagraph (G) of section 401(a)(35)of the Internal Revenue Code of 1986 is amended by striking clause (v) and by redesignating clause (vi) as clause (v). (c) The amendments made by this section shall apply to plan years beginning after the date of the enactment of this Act.
|02/11/2020||President||Referred to the House Committee on Ways and Means.Action By: House of Representatives|
|02/11/2020||President||Introduced in HouseAction By: House of Representatives|
|There is one summary for H.R.5851. View summaries Shown Here:Introduced in House (02/11/2020) 2019 ESOP Fairness Act This bill allows certain over-the-counter securities to be treated as publicly traded employer securities for purposes of the diversification requirements for employee stock ownership plans (ESOPs).|
|Shown Here:Introduced in House (02/11/2020) 2019 ESOP Fairness Act This bill allows certain over-the-counter securities to be treated as publicly traded employer securities for purposes of the diversification requirements for employee stock ownership plans (ESOPs).|