S Corporation Modernization Act of 2007 (H.R. 4840)

Introduced by Ways and Means members Congressmen Ron Kind (D-WI) and Jim Ramstad (R-MN) on December 19, 2007, the bS Corporation Modernization Actb is designed to simplify the rules under which S corporations operate.B Original cosponsors of H.R. 4840 represent Districts across the country, including Representatives Stephanie Tubbs-Jones (D-OH), Phil English (R-PA), Allyson Schwartz (D-PA), Sam Johnson (R-TX), and Steve Kagen (D-WI).

The bill isB endorsed by an impressive group of business associations and includes reforms important to keeping S corporations competitive both here at home and abroad, including:

  • Modernizing the rules that apply to firms that have selected S corporation status;
  • Increasing the ability of S Corporations to access needed capital; and
  • Encouraging S Corporations to support charity through small business trusts.

With this number of Ways and Means members supporting these important reforms, we are hopeful that Congress will take up this legislation this year.

Click here to read the full text of the bill

Click here for a section-by-section summary