Massachusetts S1950 amends tax law to allow businesses to deduct earnings from capital gains on employer securities sold to employee stock ownership.

Massachusetts S1950 amends Chapter 63 of the General Laws to allow business corporations to deduct earnings from capital gains on the sale of employer securities to an employee stock ownership plan. This deduction applies to non-publicly traded businesses with fewer than 500 employees. The employee stock ownership plan must own at least 49 percent of all outstanding employer securities issued by the business, and the business corporation must be the sponsor of the plan.

Massachusetts S1950 amends tax law to allow businesses to deduct earnings from capital gains on employer securities sold to employee stock ownership.

Massachusetts S1950 amends Chapter 63 of the General Laws to allow business corporations to deduct earnings from capital gains on the sale of employer securities to an employee stock ownership plan. This deduction applies to non-publicly traded businesses with fewer than 500 employees. The employee stock ownership plan must own at least 49 percent of all outstanding employer securities issued by the business, and the business corporation must be the sponsor of the plan.