Sec. 5. Small business and employee stock ownership
176 words·~1 min read·
/bill/119/hr/3105/ih/section-5A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The Small Business Act ( 15 U.S.C. 631 et seq. ) is amended— by redesignating section 49 as section 50; and by inserting after section 48 the following: In this section— the term ESOP means an employee stock ownership plan, as defined in section 4975(e)(7) of the Internal Revenue Code of 1986; and the term ESOP business concern means a business concern that was a small business concern eligible for a loan, preference, or other program under this Act before the date on which more than 49 percent of the business concern was acquired by an ESOP.
In determining whether an ESOP business concern qualifies as a small business concern for purposes of a loan, preference, or other program under this Act, each ESOP participant shall be treated as directly owning his or her proportionate share of the stock in the ESOP business concern owned by the ESOP. . The amendments made by this section shall take effect on January 1 of the first calendar year beginning after the date of the enactment of this Act.
Connectionstraces to 1
Traces to 1 document
U.S. Code
Citation graph
cites case law
Sec. 5
Small business and employee stock ownership
Cites 1Cited by 0 across 0 sources