Bill > HR8606

This bill proposes to defer the tax on certain sales of employer stock to employee stock ownership plans sponsored by S corporations, reduce certain retirement-related excise taxes, and make various changes to the rules for multiple employer 403(b) plans and the application of the credit for small employer pension plan startup costs. Specifically, it would amend the Internal Revenue Code to allow the tax deferral for sales of employer stock to any domestic corporation, not just domestic C corporations. It would also reduce the excise tax on certain failures to take required minimum distributions from 50% to 25%, and provide a further reduction to 10% if the distribution shortfall is corrected during a specified "correction window." Additionally, the bill would allow multiple employer 403(b) plans to be treated as a single plan for certain reporting and compliance purposes, and expand the application of the small employer pension plan startup credit to employers that join an existing plan.

Budget and Finance

https://www.congress.gov/bill/116th-congress/house-bill/8606/all-info