S. 1612 · 111th Congress
Employee Stock Ownership Plan Promotion and Improvement Act of 2009
- Stage
- In committee
- Sponsor
- Blanche Lincoln
- Introduced
- 2009-08-06
- Latest action
- 2009-08-06 · Introduced in Senate
Summary
Employee Stock Ownership Plan Promotion and Improvement Act of 2009 - Amends the Internal Revenue Code to: (1) exempt certain distributions, including dividends, by S corporations to an employee stock ownership plan (ESOP) from the penalty tax for premature employee benefit plan withdrawals; (2) exempt deductions for ESOP dividends from corporate alternative minimum tax adjustments based on adjusted earnings and profits; (3) allow deferral of the recognition of gain for certain sales to ESOPs sponsored by any domestic corporation, including S corporations; (4) allow reinvestment of ESOP stock proceeds eligible for nonrecognition of gain in certain mutual funds; and (5) modify certain ESOP stock ownership rules.
Amends the Small Business Act to allow a majority-owned ESOP business concern to continue to qualify for loans, preferences, and other programs under such Act.