Bill > S2750

This bill, known as the Dump Investments in Troublesome Communist Holdings Act or the DITCH Act, imposes restrictions on tax-exempt entities, such as charities and retirement plans, from investing in certain Chinese companies. Specifically, the bill prohibits these entities from holding any interest in "disqualified Chinese companies," which are defined as those that are either incorporated in China or have more than 10% of their stock owned by the Chinese government, Chinese Communist Party, or certain Chinese nationals. The bill provides a waiver process for organizations to apply for an exemption, but the Secretary of the Treasury can only grant a waiver if the need for the waiver outweighs the threat posed by China and the lack of separation between China and the disqualified company. Additionally, the bill requires these organizations to annually report on their investments in disqualified Chinese companies. The provisions of the bill apply to taxable years ending after the date of enactment, with a 270-day grace period for organizations unaware of the requirements.

Budget and Finance

https://www.congress.gov/bill/118th-congress/senate-bill/2750/all-info