SHARE Plan Act

This bill gives large U.S. companies a 3-point cut in their corporate tax rate if they run a broad, simple plan that regularly gives stock to employees. To qualify, a company must be U.S.-based, have at least 500 full-time U.S. employees, and either already have at least 5% of its shares in workers’ hands through the plan or give out at least 1% of its stock to employees that year. The total tax savings can’t exceed the market value of the shares the company gives out under the plan.

The plan has to include the lowest‑paid 80% of eligible workers for each distribution and give equal amounts to participating employees. Stock can vest over up to five years, but vesting must finish early if the worker retires, is let go without cause, or the company changes control. Once vested, workers can freely sell the stock. Eligible workers are full‑time, U.S.-based employees who earn under $250,000 in cash pay; that dollar limit is adjusted each year after 2025. Private companies must do a real valuation and give employees a fair way to cash out. Companies may give index fund or ETF shares instead of company stock. Treasury will publish a yearly list of qualifying companies. The company can also deduct the value of the stock it gives out, and it is protected from being blocked or penalized by other laws for running these plans. Treasury can coordinate plans across related companies in a corporate group .

• Who is affected: Large U.S. corporations; full‑time U.S. workers under $250,000 in cash pay .
• What changes: 3‑point corporate tax cut tied to broad employee stock grants; equal treatment across most workers; optional per‑employee cap of $250,000 in stock (indexed after 2025); deduction for stock given; public list of qualifying companies; legal protection to run the plan; option to use index funds; prior non‑incentive grants can count toward the employee‑ownership target, but performance‑based awards don’t count .
• When: The $250,000 limit is adjusted annually after 2025 for wage growth; other timing details are set by the bill’s enactment and plan operations as described above.