This bill would let S corporations have more shareholders than they can today. It changes the tax code’s limit on how many owners an S corporation may have, starting with tax years after December 31, 2025. The text does not state the new number; it only says the limit would be increased.

Key points:

• Who is affected: Businesses that are or want to be S corporations, and their current or future owners.
• What changes: The maximum number of allowed S‑corp shareholders would go up (the exact new limit isn’t specified in the provided text).
• When: Applies to tax years beginning after December 31, 2025.