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This bill amends the Internal Revenue Code to expand the denial of tax deductions for excessive employee compensation at publicly held corporations. It broadens the definition of "covered individual" to include any individual performing services for a corporation (not just named executives), extends the rule to corporations that filed SEC reports at any time in the prior three years, and authorizes the Treasury Secretary to issue regulations to prevent avoidance of these restrictions. The changes apply to taxable years beginning after December 31, 2024.
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