S-CAP Act of 2025

[AI summary unavailable — showing source text] [Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [S. 1371 Introduced in Senate (IS)] <DOC> 119th CONGRESS 1st Session S. 1371 To amend the Internal Revenue Code of 1986 to increase the number of eligible shareholders of an S corporation. _______________________________________________________________________ IN THE SENATE OF THE UNITED STATES April 9, 2025 Mr. Boozman introduced the following bill; which was read twice and referred to the Committee on Finance _______________________________________________________________________ A BILL To amend the Internal Revenue Code of 1986 to increase the number of eligible shareholders of an S corporation. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``S-Corporation Additional Participation Act of 2025'' or the ``S-CAP Act of 2025''. SEC. 2. INCREASE IN NUMBER OF SHAREHOLDERS TO QUALIFY AS AN S CORPORATION. (a) In General.--Section 1361(b)(1)(A) of the Internal Revenue Code of 1986 is amended by striking ``100'' and inserting ``250''. (b) Effective Date.--The amendment made by this sec…