,i  #aaf? ,,congress  #a/ ,session  ,h4 
,r4 #ddai  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,septemb] #ai1        
#bjai,mr4 ,k5n$y introduc$ ! foll[+     
bill2 :i* 0 ref]r$ to ! ,committee on   
,ways & ,means  ,a ,,bill  ,to am5d !   
,int]nal ,rev5ue ,code ( #aihf to ensure
 t work]s & communities t are           
responsible = record corporate pr(its   
b5efit f ! weal? t ^? work]s &          
communities help to create1 & = o!r     
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,work] ,divid5d ,act (     
#bjai4  #b4 ,failure ( employ] to pay   
work] divid5ds  7a7 ,9 g5]al ,subtitle  
,d ( ! ,int]nal ,rev5ue ,code ( #aihf is
 am5d$ by ins]t+ aft] *apt] #cf ! foll[+
 new *apt]3  #cg ,provisions relat+ to  
work] divid5ds  ,sec4 #deja4 ,failure ( 
employ] to pay work] divid5ds4  #deja4  
,failure ( employ] to pay work] divid5ds
  7a7 ,g5]al rule ,if1 = a taxable ye> 9
 :i* a cov]$ employ] repur*ases any     
securities ( ! employ] on ! op5 m>ket1 !
 cov]$ employ] fails to pay to its      

employees a work] divid5d meet+ !       
requirem5ts ( subsection 7b71 !n !re is 
h]eby impos$ on ! cov]$ employ] a tax   
equal to ! less] ( ! am\nts det]m9$ "u  
subp>agraphs 7,a7 & 7,b7 ( subsection   
7b77#a74  7b7 ,work] divid5d ,= purposes
 ( ?is section-- 7#a7 ,9 g5]al ,! t]m   
work] divid5d means a paym5t made by a  
cov]$ employ] to employees ( ! employ]  
at locations 9 ! ,unit$ ,/ates1 if !    
total ( all su* paym5ts made dur+ !     
taxable ye> is n less ?an ! less] (--   
7,a7 ! am\nt paid by ! employ] to       
repur*ase securities ( ! employ] on !   
op5 m>ket dur+ ! taxable ye>1 &  7,b7   
#ej p]c5t ( ! am\nt by :i* ! e>n+s be=e 
int]e/1 taxes1 depreciation1 &          
amortization ( ! employ] dur+ ! taxable 
ye> 9 ! ,unit$ ,/ates exce$             
#bej1jjj1jjj4  7#b7 ,paym5ts to be 9    
addition to comp5sation ,su* t]m %all n 
include any paym5t unless su* paym5t is 
9 addition to1 & 7includ+ by election ( 
! employee7 is n includ$ 9 7except z    
provid$ 9 p>agraph 7#e77 or sub/itut$ =1

 any ca% or o!r comp5sation ord9>ily    
paid to ! employee by ! employ]4  7#c7  
,paym5ts to be equal ,su* t]m %all n    
include any paym5t unless ! am\nt ( !   
paym5t made to ea* employee ( ! employ] 
9 ! ,unit$ ,/ates is ( an equal am\nt4  
,not)/&+ ! prec$+ s5t5ce1 9 ! case ( an 
employee employ$ at less ?an full "t1 ! 
paym5t to su* employee may be 9 a pro   
rata am\nt bas$ on ! h\rs work$ by !    
employee p] week4  7#d7 ,tim+ ( paym5t  
,su* t]m %all n include any paym5t :i*  
is n made )9 #fj days ( ! close ( !     
taxable ye> to :i* x relates4  7#e7     
,option to increase comp5sation ,a cov]$
 employ] may1 by provid+ su*            
docum5tation z ! ,secret>y may require1 
elect to h ! work] divid5d paid to      
employees 9 ! =m ( an increase 9 regul> 
comp5sation4 ,9 ! case ( a cov]$ employ]
 mak+ su* election--  7,a7 p>agraph 7#d7
 %all n apply1 &  7,b7 ! t]m work]      
divid5d includes only increases 9       
comp5sation :i* are s docum5t$ & :i* are
 paid )9 #a cal5d> ye> ( ! date !       

increase goes into effect4  7c7 ,cov]$  
employ] ,= purposes ( ?is section1 ! t]m
 cov]$ employ] means1 = any taxable ye>1
 any entity ! /ock ( :i* is publicly    
trad$4  7d7 ,aggregation rule ,all      
p]sons treat$ z a s+le employ] "u       
subsection 7a7 or 7b7 ( section #eb %all
 be treat$ z a s+le employ] = purposes (
 det]m9+ :e!r an individual is an       
employee ( a cov]$ employ]4  7e7        
,regulations ,! ,secret>y1 9            
consultation ) ! ,secret>y ( ,labor1    
%all promulgate regulations or o!r      
guidance to ensure compliance ) ?is     
section1 includ+ ! det]m9ation ( full "t
 /atus & rules to prev5t avoidance ( !  
purposes ( subsection 7b77#b74  7f7     
,report+ ,) respect to any taxable ye> 9
 :i* a cov]$ employ] repur*ases any     
securities ( ! employ] on ! op5 m>ket1 n
 lat] ?an ! due date = ! return ( tax = 
su* taxable ye> su* employ] %all report 
to ! ,secret>y & ! ,*airman ( !         
,securities & ,ex*ange ,commission1 9   
su* mann] z ! ,secret>y %all det]m9e1 ! 

am\nt ( any work] divid5d paid dur+ su* 
taxable ye> & any o!r in=mation z !     
,secret>y %all require4  4  7b7 ,cl]ical
 am5dm5t ,! table ( *apt]s = subtitle ,d
 ( ! ,int]nal ,rev5ue ,code ( #aihf is  
am5d$ by ins]t+ aft] ! item relat+ to   
*apt] #cf ! foll[+ new item3  ,*apt]    
#cg--,provisions relat+ to work]        
divid5ds  4  7c7 ,effective date ,!     
am5dm5ts made by ?is section %all apply 
to repur*ases ( employ] securities 9    
taxable ye>s beg9n+ aft] ! date ( !     
enactm5t ( ?is ,act4