S.4185

Stop Subsidizing Giant Mergers Act aims to end tax-free treatment for large corporate mergers.

The Stop Subsidizing Giant Mergers Act seeks to amend the Internal Revenue Code to end the tax-free treatment of certain corporate reorganizations involving large corporations. Specifically, it targets mergers, consolidations, acquisitions, or transfers where the combined average annual gross receipts of the involved corporations exceed $500 million over the three years preceding the transaction. Exceptions apply if the corporations control each other or if another corporation controls both.