,i  #aac? ,,congress  #a/ ,session  ,h4 
,r4 #aii  ,,9 ,,! ,,h\se ,,(            
,,repres5tatives  ,janu>y #d1 #bjac ,ms4
 ,lee ( ,cali=nia introduc$ ! foll[+    
bill2 :i* 0 ref]r$ to ! ,committee on   
,ways & ,means  ,a ,,bill  ,to am5d !   
,int]nal ,rev5ue ,code ( #aihf to limit 
! d$uctibility ( excessive rates (      
executive comp5sation4  #a4 ,%ort title 
,?is ,act may be cit$ z ! ,income       
,equity ,act ( #bjac4  #b4 ,d5ial (     
d$uction = paym5ts ( excessive          
comp5sation  7a7 ,9 g5]al ,section #afb 
( ! ,int]nal ,rev5ue ,code ( #aihf      
7relat+ to d$uction = trade or bus9ess  
exp5ses7 is am5d$ by ins]t+ aft]        
subsection 7h7 ! foll[+ new subsection3 
7i7 ,excessive comp5sation  7#a7 ,9     
g5]al ,no d$uction %all be all[$ "u ?is 
*apt] = any excessive comp5sation )     
respect to any full-"t employee4  7#b7  
,excessive comp5sation ,= purposes ( ?is
 subsection1 ! t]m excessive comp5sation
 means1 ) respect to any employee1 !    
am\nt by :i*--  7,a7 ! comp5sation =    

s]vices p]=m$ by su* employee dur+ !    
taxable ye>1 exce$s  7,b7 ! great] (--  
7i7 an am\nt equal to #be times ! l[e/  
comp5sation = s]vices p]=m$ by any o!r  
full-"t employee dur+ su* taxable ye>1  
or  7ii7 #ejj1jjj4  7#c7 ,def9itions &  
special rules ,= purposes ( ?is         
subsection--  7,a7 ,comp5sation  7i7 ,9 
g5]al ,! t]m comp5sation includes wages1
 sal>y1 def]r$ comp5sation1 retirem5t   
contributions1 options1 bonuses1        
prop]ty1 & any o!r =m ( comp5sation or  
bonus t ! ,secret>y ( ! ,treasury       
det]m9es is appropriate4  7ii7 ,"p-ye>  
employees ,9 ! case ( any "p-ye>        
employee1 ! comp5sation ( ! employee    
%all be comput$ on an annualiz$ basis4  
7,b7 ,employ] ,all p]sons treat$ z a    
s+le employ] "u subsection 7a7 or 7b7 ( 
section #eb or subsection 7m7 or 7o7 (  
section #dad %all be treat$ z #a        
employ]4  7#d7 ,report+ ,ea* employ] :o 
provides comp5sation 9 any taxable ye>  
to any employee 9 an am\nt :i* is m ?an 
#be times ! am\nt ( ! l[e/-comp5sat$    

full-"t employee1 %all file a report ) !
 ,secret>y conta9+--  7,a7 ! comp5sation
 ( ! l[e/-comp5sat$ full-"t employee1   
7,b7 ! av]age pay ( all non-manag]ial   
employees1  7,c7 ! av]age pay ( all     
executive /aff1 &  7,d7 ! exact         
comp5sation ( ! top #e employees ( !    
company4  ,any su* report %all be fil$  
at su* "t & 9 su* mann] z ! ,secret>y   
may require4  4  7b7 ,effective date ,! 
am5dm5t made by ?is section %all apply  
to taxable ye>s beg9n+ aft] ! date ( !  
enactm5t ( ?is ,act4