Subchapter S Modernization Act of 2001

Summary

Subchapter S Modernization Act of 2001 - Amends the Internal Revenue Code to revise provisions concerning S corporations to, among other things: (1) allow certain members of a family to be treated as one shareholder of an S corporation; (2) prohibit treating qualified preferred stock as a second class of stock and treating a person as a shareholder by reason of holding such stock; (3) permit financial institutions to hold convertible (safe harbor) debt; (4) repeal the characterization of excessive passive investment income as a termination event; (5) permit certain losses on liquidation not exceeding ordinary income basis to be treated as ordinary losses; (6) permit the deductibility of interest expense incurred by an electing small business trust to acquire S corporation stock; (7) provide that shareholder basis is not increased by income derived from cancellation of S corporation's debt; (8) provide for the exclusion of investment securities income from the passive income test for bank S corporations; (9) provide relief from inadvertently invalid qualified subchapter S subsidiary elections and terminations on the same basis as is provided to invalid or terminated S corporation elections; and (10) provide for the elimination of all earnings and profits attributable to pre-1983 years.

This text is taken from the official record. PoliticalRepo does not editorialize.

Timeline

1. 19 July 2001

   Introduced

   Referred to the House Committee on Ways and Means.

   Source: IntroReferral

2. 19 July 2001

   Introduced

   Introduced in House

   Source: IntroReferral

3. 19 July 2001

   Introduced

   Introduced in House

   Source: IntroReferral

4. 20 July 2001

   Introduced

   Sponsor introductory remarks on measure. (CR E1380-1382)

   Source: IntroReferral

Votes

No vote records are attached yet.

Versions

• Introduced in House · 19 July 2001 · Official file

Documents

3 official files

• Introduced in House (text)

  Introduced in House · EN · 19 July 2001

  ViewDownloadOpen at official source

• Introduced in House (PDF)

  Introduced in House · EN · 19 July 2001

  ViewDownloadOpen at official source

• Introduced in House

  summary · EN · 19 July 2001

  Open at official source

Sponsors

• Rep. Shaw, E. Clay, Jr. [R-FL-15] · R · Sponsor
• Rep. Matsui, Robert T. [D-CA-3] · D · Sponsor
• Sen. Portman, Rob [R-OH] · R · Sponsor
• Rep. Goode, Virgil H., Jr. [R-VA-5] · I · Cosponsor
• Rep. Rangel, Charles B. [D-NY-19] · D · Cosponsor
• Rep. Ross, Mike [D-AR-4] · D · Cosponsor
• Rep. Schaffer, Bob [R-CO-4] · R · Cosponsor
• Rep. Wolf, Frank R. [R-VA-10] · R · Cosponsor
• Richard Neal · D · Cosponsor
• Rep. Pence, Mike [R-IN-6] · R · Cosponsor
• Rep. Hinojosa, Ruben [D-TX-15] · D · Cosponsor
• Rep. Ramstad, Jim [R-MN-3] · R · Cosponsor
• Rep. McInnis, Scott [R-CO-3] · R · Cosponsor
• Rep. Foley, Mark [R-FL-16] · R · Cosponsor
• Rep. Davis, Jo Ann [R-VA-1] · R · Cosponsor
• Rep. Pomeroy, Earl [D-ND-At Large] · D · Cosponsor
• · hswm00 · Standing

Related records

• related to ← Subchapter S Modernization Act of 2001