B26-0324

The bill amends the District of Columbia tax code to impose a tax on certain pass-through entities, including S corporations and partnerships, for.

The District of Columbia B26-0324 amends the tax code to introduce a tax on pass-through entities, such as S corporations and partnerships, for income attributable to nonresident members. The tax applies to the sum of each member's distributive share or pro rata share of the entity's taxable income. The tax rate is based on the top marginal District of Columbia tax rate for individuals and corporations. The bill allows pass-through entities to either pay the tax on behalf of nonresident members or have the tax imposed directly on those members.