S. 2461 · 119th Congress

Expands tax deferral and federal support for employee ownership of S corporations

Official title: Promotion and Expansion of Private Employee Ownership Act of 20251

Never got a floor voteBusiness tax breaksSmall business loans and programs

§1What it does

Why this matters: A plain-English description of the bill as it was voted on, written by us from the official summary and text.

Drafted by AI from the public sources cited. Each sentence links to its source.

This bill would let owners who sell shares of an S corporation, a type of company taxed through its owners' personal returns, to an employee stock ownership plan, a retirement plan that gives workers shares of their company, defer all of the tax on their gain, starting when the bill becomes law.2,3 Small businesses that become more than 49% owned by such a plan could keep their eligibility for Small Business Administration loans and other programs.3 It would also create an office at the Treasury Department to promote and give technical help on employee ownership of S corporations, and an Advocate for Employee Ownership at the Labor Department.3,4

§2Status

StatusLatest action, July 24, 2025: Read twice and referred to the Committee on Finance.1
IntroducedJuly 24, 2025
SponsorSen. Daines, Steve [R-MT]
Cosponsors33 cosponsors (15 Democratic, 16 Republican, 2 independent)
Official recordS. 2461 on Congress.gov

§3It never got a vote

Why this matters: This bill had wide support from both parties, but it never reached the House or Senate floor, so no member of Congress was ever recorded voting for or against it.

Latest action, July 24, 2025: Read twice and referred to the Committee on Finance.1 How bills die without a vote.

2026 candidates who sponsored or cosponsored it (9)