SB0040

AN ACT to amend Tennessee Code Annotated, Title 4; Title 8; Title 9; Title 12, Chapter 3; Title 45; Title 50; Title 56, Chapter 1 and Title 67, relative to employee-owned businesses.

Introduced·1/7/25

Employee Ownership, Empowerment, and Expansion Act incentivizes businesses to transition to employee ownership.

The Employee Ownership, Empowerment, and Expansion Act amends Tennessee law to incentivize businesses to transition to employee ownership. It provides tax credits for conversion costs to employee stock ownership plans, employee ownership trusts, or worker-owned cooperatives. The act defines employee ownership trusts, employee stock ownership plans, and worker-owned cooperatives, and it exempts these entities from certain taxes. It also mandates outreach to minority-owned businesses and requires a report on the tax credit's effectiveness. The changes take effect on January 1, 2026.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Where it stands

Current
In committee
Next
Committee decision

Sponsors

0
2
RR
Democratic CaucusRepublican Caucus

Calendar

Mar 18, 2025

1:00 PM

Senate Commerce And Labor Hearing

Mar 11, 2025

1:00 PM

Senate Commerce And Labor Hearing

History

Dec 1, 2025

Senate

Withdrawn.

Mar 18, 2025

Senate

Assigned to General Subcommittee of Senate Commerce and Labor Committee

Mar 13, 2025

Senate

Placed on Senate Commerce and Labor Committee calendar for 3/18/2025