HR 3140

This bill, the Stop Subsidizing Multimillion Dollar Corporate Bonuses Act, aims to limit the tax deductions corporations can take for excessive employee compensation. It expands the definition of ‘covered individual’ to include a broader range of high-compensated employees, particularly those holding executive positions, and clarifies the criteria for determining whether compensation must be reported to shareholders. The bill also strengthens the IRS’s ability to regulate and prevent companies from avoiding these restrictions through complex financial structures.