Bills · HR 4739
IN COMMITTEE· 119TH CONGRESS
House BillHR 4739Taxation
SHARE Plan Act
INTRO JUL 23· LAST ACTION JUL 23
READING
10MIN
COSPONSORS
13BIPARTISAN
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenThis bill matters because it aims to encourage employee ownership, which can have several real-world impacts. If more companies adopt employee stock ownership plans, it could lead to employees having a greater financial stake in their company's success, potentially boosting morale, productivity, and long-term financial stability for workers. It could also help employees build wealth through company stock, an asset often unavailable to lower and middle-income workers.
However, it also means a reduction in tax revenue collected by the government from these corporations. Voters should care because it represents a policy choice to incentivize a specific corporate behavior (employee stock ownership) using tax dollars. If this bill becomes law, we might see an increase in companies offering broad-based employee stock plans, while if it doesn't, current trends in corporate compensation are likely to continue without this specific tax incentive.
KEY PROVISIONS
5AI-extractedPROVISION 01
Reduces the corporate tax rate by 3 percentage points for qualifying companies.
This provides a direct financial incentive for corporations to adopt employee stock ownership plans.
PROVISION 02
Establishes criteria for a 'SHARE corporation,' including having 500+ U.S. employees and distributing a minimum percentage of company stock to employees (either 5% accumulated or 1% in the current year).
These criteria define which companies are eligible for the tax break and the minimum level of employee ownership required.
PROVISION 03
Requires 'SHARE plans' to include at least 80% of the lowest-compensated eligible employees in stock distributions.
This ensures the benefits of employee stock ownership are broadly distributed among the workforce, not just top executives.
PROVISION 04
Caps the total tax reduction a company can receive at the market value of the stock it has granted to employees through the SHARE plan.
This limits the financial benefit to the company to be commensurate with the value of stock actually transferred to employees.
PROVISION 05
Excludes performance-based stock awards (like restricted stock or stock options tied to performance) from counting towards the employee ownership requirements.
This distinguishes broad-based employee ownership from executive compensation tied to individual performance.
SPONSORSHIP
1 + 13
D· New York
YRS IN OFFICE
9
BILLS LED
26
COSPONSOR BREAKDOWNBIPARTISAN · 92%
DEM 6 REP 7 IND 0
ACTION TIMELINE
2 EVENTSJUL 23
Introduced in House
JUL 23
Referred to the House Committee on Ways and Means.
BILL INFO
TypeHouse Bill
NumberHR 4739
Congress119th
StatusIn Committee
IntroducedJul 23, 2025
Last actionJul 23, 2025
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IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED JUL 23, 2025
House BillHR 4739Taxation
SHARE Plan Act
INTRODUCED JUL 23, 2025· LAST ACTION JUL 23, 2025
PASSAGE CHANCES
—%
READING
10 min
COSPONSORS
13
COMPLEXITY
Moderate
