Promotion and Expansion of Private Employee Ownership Act of 2025
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Summary
This bill expands employee stock ownership plans (ESOPs) in S corporations by accelerating tax deferral incentives for business owners who sell stock to employee-owned plans, eliminating previous limitations on such deferrals, and establishing new federal offices to promote employee ownership. It also ensures that S corporations with ESOP ownership retain eligibility for Small Business Administration programs and creates an Advocate for Employee Ownership within the Department of Labor to provide education, technical assistance, and dispute resolution support.
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