# 116-hr-5643: S Corporation Modernization Act of 2020

116-hr-5643, S Corporation Modernization Act of 2020, is a 116th Congress bill sponsored by Rep. Kind, Ron [D-WI-3] (D-WI); status Referred to the House Committee on Ways and Means. (as of 2025-11-18).

- Canonical: https://policyrisk.com/legislation/116-hr-5643
- As of: 2025-11-18
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 116-hr-5643
- Congress: 116
- Title: S Corporation Modernization Act of 2020
- Status: Referred to the House Committee on Ways and Means.
- Introduced: 2020-01-16
- Sponsor: Rep. Kind, Ron [D-WI-3] (D-WI)
- Cosponsors: 1
- Policy area: Taxation
- Touches household money: no
- Last recorded action: 2025-11-18

## Summary

S Corporation Modernization Act of 2020 This bill amends the Internal Revenue Code, with respect to the tax treatment of S corporations, to allow S corporations to increase passive investment income from 25% to 60% without incurring additional taxes; eliminate a provision terminating the S corporation status of corporations with excessive passive income in three consecutive years; allow any S corporation to have individual retirement accounts as shareholders; and allow an adjustment to the basis of an S corporation's assets upon the death of a shareholder, in the form of a 15-year amortization deduction.

## Cosponsors (1)

- Rep. Wenstrup, Brad R. [R-OH-2] (R-OH), 2020-01-16T00:00:00.000Z

## Related bills

- 116-hr-8966: COVID–19 Vaccine Awareness Support Act of 2020
- 116-hr-8845: Medicare Multi-Cancer Early Detection Screening Coverage Act of 2020
- 116-hr-8696: Securing a Strong Retirement Act of 2020
- 116-hr-6829: EMPIL–DOC Act
- 116-hr-6365: Immediate Relief for Rural Facilities and Providers Act of 2020
- 116-hr-5534: Comprehensive Immunosuppressive Drug Coverage for Kidney Transplant Patients Act of 2020

## Sources
- [116-hr-5643 on Congress.gov](https://www.congress.gov/bill/116th-congress/house-bill/5643)

## Related
- [116-hr-8966: COVID–19 Vaccine Awareness Support Act of 2020](https://policyrisk.com/legislation/116-hr-8966)
- [116-hr-8845: Medicare Multi-Cancer Early Detection Screening Coverage Act of 2020](https://policyrisk.com/legislation/116-hr-8845)
- [116-hr-8696: Securing a Strong Retirement Act of 2020](https://policyrisk.com/legislation/116-hr-8696)
- [116-hr-6829: EMPIL–DOC Act](https://policyrisk.com/legislation/116-hr-6829)
- [116-hr-6365: Immediate Relief for Rural Facilities and Providers Act of 2020](https://policyrisk.com/legislation/116-hr-6365)
- [116-hr-5534: Comprehensive Immunosuppressive Drug Coverage for Kidney Transplant Patients Ac…](https://policyrisk.com/legislation/116-hr-5534)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/116-hr-5643 (as of 2025-11-18).