I 
114TH CONGRESS 
1ST SESSION H. R. 2103 
To amend the Internal Revenue Code of 1986 to expand the denial of 
deduction for certain excessive employee remuneration, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 29, 2015 
Mr. DOGGETT (for himself, Ms. BROWNLEY of California, Mr. CICILLINE, Ms. 
DELAURO, Mr. ELLISON, Mr. GRIJALVA, Mr. HUFFMAN, Ms. LEE, Mr. 
LIPINSKI, Mr. LOWENTHAL, Mr. MCDERMOTT, Mr. MCGOVERN, Ms. 
NORTON, Mr. POCAN, Mr. RANGEL, Mr. RUSH, Ms. SCHAKOWSKY, Ms. 
SLAUGHTER, Ms. TSONGAS, Mr. VAN HOLLEN, Mr. VISCLOSKY, Mr. 
BRADY of Pennsylvania, Mr. PASCRELL, and Ms. MOORE) introduced the 
following bill; which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to expand 
the denial of deduction for certain excessive employee 
remuneration, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Stop Subsidizing Mul-
timillion Dollar Corporate Bonuses Act’’. 
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SEC. 2. EXPANSION OF DENIAL OF DEDUCTION FOR CER-
TAIN 
EXCESSIVE 
EMPLOYEE 
REMUNERA-
TION. 
(a) APPLICATION TO ALL CURRENT AND FORMER 
EMPLOYEES.— 
(1) IN GENERAL.—Section 162(m) of the Inter-
nal Revenue Code of 1986 is amended— 
(A) by striking ‘‘covered employee’’ each 
place it appears in paragraphs (1) and (4) and 
inserting ‘‘covered individual’’, and 
(B) by striking ‘‘such employee’’ each 
place it appears in subparagraphs (A) and (G) 
of paragraph (4) and inserting ‘‘such indi-
vidual’’. 
(2) COVERED INDIVIDUAL.—Section 162(m)(3) 
of such Code is amended to read as follows: 
‘‘(3) COVERED INDIVIDUAL.—For purposes of 
this subsection, the term ‘covered individual’ means 
any individual who is an officer, director, or em-
ployee of the taxpayer or a former officer, director, 
or employee of the taxpayer.’’. 
(3) CONFORMING AMENDMENTS.— 
(A) Section 48D(b)(3)(A) of such Code is 
amended by inserting ‘‘(as in effect for taxable 
years beginning before January 1, 2015)’’ after 
‘‘section 162(m)(3)’’. 
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(B) Section 409A(b)(3)(D)(ii) of such 
Code is amended by inserting ‘‘(as in effect for 
taxable years beginning before January 1, 
2015)’’ after ‘‘section 162(m)(3)’’. 
(b) EXPANSION OF APPLICABLE EMPLOYEE REMU-
NERATION.— 
(1) ELIMINATION OF EXCEPTION FOR COMMIS-
SION-BASED PAY.— 
(A) IN GENERAL.—Section 162(m)(4) of 
such Code, as amended by subsection (a), is 
amended by striking subparagraph (B) and by 
redesignating subparagraphs (C) through (G) 
as subparagraphs (B) through (F), respectively. 
(B) CONFORMING AMENDMENTS.— 
(i) Section 162(m)(5) of such Code is 
amended— 
(I) by striking ‘‘subparagraphs 
(B), (C), and (D) thereof’’ in sub-
paragraph (E) and inserting ‘‘sub-
paragraphs (B) and (C) thereof’’, and 
(II) by striking ‘‘subparagraphs 
(F) and (G)’’ in subparagraph (G) 
and inserting ‘‘subparagraphs (E) and 
(F)’’. 
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(ii) Section 162(m)(6) of such Code is 
amended— 
(I) by striking ‘‘subparagraphs 
(B), (C), and (D) thereof’’ in sub-
paragraph (D) and inserting ‘‘sub-
paragraphs (B) and (C) thereof’’, and 
(II) by striking ‘‘subparagraphs 
(F) and (G)’’ in subparagraph (G) 
and inserting ‘‘subparagraphs (E) and 
(F)’’. 
(2) INCLUSION OF PERFORMANCE-BASED COM-
PENSATION.— 
(A) IN GENERAL.—Section 162(m)(4) of 
such Code, as amended by subsection (a) and 
paragraph (1) of this subsection, is amended by 
striking subparagraph (B) and redesignating 
subparagraphs (C) through (F) as subpara-
graphs (B) through (E), respectively. 
(B) CONFORMING AMENDMENTS.— 
(i) Section 162(m)(5) of such Code, 
as amended by paragraph (1), is amend-
ed— 
(I) by striking ‘‘subparagraphs 
(B) and (C) thereof’’ in subparagraph 
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(E) and inserting ‘‘subparagraph (B) 
thereof’’, and 
(II) by striking ‘‘subparagraphs 
(E) and (F)’’ in subparagraph (G) 
and inserting ‘‘subparagraphs (D) and 
(E)’’. 
(ii) Section 162(m)(6) of such Code, 
as amended by paragraph (1), is amend-
ed— 
(I) by striking ‘‘subparagraphs 
(B) and (C) thereof’’ in subparagraph 
(D) and inserting ‘‘subparagraph (B) 
thereof’’, and 
(II) by striking ‘‘subparagraphs 
(E) and (F)’’ in subparagraph (G) 
and inserting ‘‘subparagraphs (D) and 
(E)’’. 
(c) EXPANSION OF APPLICABLE EMPLOYER.—Sec-
tion 162(m)(2) of such Code is amended to read as fol-
lows: 
‘‘(2) PUBLICLY HELD CORPORATION.—For pur-
poses of this subsection, the term ‘publicly held cor-
poration’ means any corporation which is an issuer 
(as defined in section 3 of the Securities Exchange 
Act of 1934 (15 U.S.C. 78c))— 
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‘‘(A) that has a class of securities reg-
istered under section 12 of such Act (15 U.S.C. 
78l), or 
‘‘(B) that is required to file reports under 
section 15(d) of such Act (15 U.S.C. 780(d)).’’. 
(d) REGULATORY AUTHORITY.— 
(1) IN
GENERAL.—Section 162(m) of such 
Code is amended by adding at the end the following 
new paragraph: 
‘‘(7) REGULATIONS.—The Secretary may pre-
scribe such guidance, rules, or regulations, including 
with respect to reporting, as are necessary to carry 
out the purposes of this subsection.’’. 
(2) 
CONFORMING
AMENDMENT.—Section 
162(m)(6) of such Code is amended by striking sub-
paragraph (H). 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2014. 
Æ 
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