S.1576

Expands tax code to deny deduction for excessive executive pay at publicly held corporations.

The Stop Subsidizing Multimillion Dollar Corporate Bonuses Act amends the Internal Revenue Code to expand the denial of deduction for certain excessive employee remuneration. It modifies the definition of "publicly held corporation" and expands the scope of "covered individual" to include any employee who would be among the three highest compensated officers. The bill also updates terminology to reflect the changes. The amendments apply to taxable years beginning after December 31, 2024.