# 119-hr-5298: Tax Excessive CEO Pay Act of 2025

119-hr-5298, Tax Excessive CEO Pay Act of 2025, is a 119th Congress bill sponsored by Rep. Tlaib, Rashida [D-MI-12] (D-MI); status introduced; PRIA reads it as touching household money (as of 2026-09-21).

- Canonical: https://policyrisk.com/legislation/119-hr-5298
- As of: 2026-09-21
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-hr-5298
- Congress: 119
- Title: Tax Excessive CEO Pay Act of 2025
- Status: introduced
- Introduced: 2025-09-11
- Sponsor: Rep. Tlaib, Rashida [D-MI-12] (D-MI)
- Cosponsors: 29
- Policy area: Taxation
- Touches household money: yes
- Last recorded action: 2026-09-21

## Summary

**Penalizes corporations with high CEO-to-worker pay ratios** by raising the federal corporate tax rate when the ratio exceeds 50 to 1. The bill sets step‑up tax penalties tied to how large the pay gap is and adds rules for measuring and reporting that ratio.

## Cosponsors (29)

- Rep. Pallone, Frank [D-NJ-6] (D-NJ), 2025-09-11T00:00:00.000Z
- Rep. Lee, Summer L. [D-PA-12] (D-PA), 2025-09-11T00:00:00.000Z
- Rep. Jackson, Jonathan L. [D-IL-1] (D-IL), 2025-09-11T00:00:00.000Z
- Rep. Randall, Emily [D-WA-6] (D-WA), 2025-09-11T00:00:00.000Z
- Rep. Mfume, Kweisi [D-MD-7] (D-MD), 2025-09-11T00:00:00.000Z
- Rep. Casar, Greg [D-TX-35] (D-TX), 2025-09-15T00:00:00.000Z
- Del. Norton, Eleanor Holmes [D-DC-At Large] (D-DC), 2025-09-15T00:00:00.000Z
- Rep. Thanedar, Shri [D-MI-13] (D-MI), 2025-10-03T00:00:00.000Z
- Rep. Brownley, Julia [D-CA-26] (D-CA), 2025-10-08T00:00:00.000Z
- Rep. Pingree, Chellie [D-ME-1] (D-ME), 2025-09-11T00:00:00.000Z
- Rep. Huffman, Jared [D-CA-2] (D-CA), 2025-09-11T00:00:00.000Z
- Rep. Ramirez, Delia C. [D-IL-3] (D-IL), 2025-09-11T00:00:00.000Z
- Rep. McGovern, James P. [D-MA-2] (D-MA), 2025-09-11T00:00:00.000Z
- Rep. Omar, Ilhan [D-MN-5] (D-MN), 2025-09-11T00:00:00.000Z
- Rep. Khanna, Ro [D-CA-17] (D-CA), 2025-09-11T00:00:00.000Z
- Rep. Meng, Grace [D-NY-6] (D-NY), 2025-09-11T00:00:00.000Z
- Rep. Simon, Lateefah [D-CA-12] (D-CA), 2025-09-11T00:00:00.000Z
- Rep. García, Jesús G. "Chuy" [D-IL-4] (D-IL), 2025-09-11T00:00:00.000Z
- Rep. Jayapal, Pramila [D-WA-7] (D-WA), 2025-09-11T00:00:00.000Z
- Rep. Deluzio, Christopher R. [D-PA-17] (D-PA), 2025-09-11T00:00:00.000Z
- Rep. Watson Coleman, Bonnie [D-NJ-12] (D-NJ), 2025-09-11T00:00:00.000Z
- Rep. Clarke, Yvette D. [D-NY-9] (D-NY), 2025-09-11T00:00:00.000Z
- Rep. Balint, Becca [D-VT-At Large] (D-VT), 2025-09-11T00:00:00.000Z
- Rep. Pressley, Ayanna [D-MA-7] (D-MA), 2025-09-11T00:00:00.000Z
- Rep. Cohen, Steve [D-TN-9] (D-TN), 2025-10-21T00:00:00.000Z
- Rep. Goldman, Daniel S. [D-NY-10] (D-NY), 2025-12-03T00:00:00.000Z
- Rep. Foushee, Valerie P. [D-NC-4] (D-NC), 2025-12-18T00:00:00.000Z
- Rep. Dexter, Maxine [D-OR-3] (D-OR), 2026-04-14T00:00:00.000Z
- Rep. Grijalva, Adelita S. [D-AZ-7] (D-AZ), 2026-05-13T00:00:00.000Z

## Provisions PRIA read

- Higher corporate taxes for big pay gaps: cost, medium. If enacted, corporations with a CEO-to-worker pay ratio over 50:1 would pay a higher tax rate. The 21% rate would rise by: 0.5 points for >50–100:1; 1 point for >100–200:1; 2 points for >200–300:1; 3 points for >300–400:1; 4 points for >400–500:1; and 5 points for >500:1. Private companies not cove…
- Anti-avoidance rules and start date: cost, low. If enacted, Treasury would write rules to stop companies from dodging the pay-ratio tax. Rules could address shifting workers to contractors or changing workforce mix to lower the ratio. The changes would apply to tax years starting after December 31, 2025. The bill would also update code cross-ref…
- Five-year average to measure pay ratio: mixed, medium. If enacted, the pay ratio would be measured using a five-year average of pay. If the highest-paid worker is not the CEO, the ratio would use that person’s pay. These rules could change whether a company crosses the 50:1 threshold for the surcharge.

## Related bills

- 119-hr-51: Washington, D.C. Admission Act
- 119-hr-7973: Momnibus Act
- 119-hr-20: Richard L. Trumka Protecting the Right to Organize Act of 2025
- 119-hr-2086: Rights for the TSA Workforce Act
- 119-hr-5390: FAMILY Act
- 119-hr-15: Equality Act

## Sources
- [119-hr-5298 on Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/5298)

## Related
- [119-hr-51: Washington, D.C. Admission Act](https://policyrisk.com/legislation/119-hr-51)
- [119-hr-7973: Momnibus Act](https://policyrisk.com/legislation/119-hr-7973)
- [119-hr-20: Richard L. Trumka Protecting the Right to Organize Act of 2025](https://policyrisk.com/legislation/119-hr-20)
- [119-hr-2086: Rights for the TSA Workforce Act](https://policyrisk.com/legislation/119-hr-2086)
- [119-hr-5390: FAMILY Act](https://policyrisk.com/legislation/119-hr-5390)
- [119-hr-15: Equality Act](https://policyrisk.com/legislation/119-hr-15)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-hr-5298 (as of 2026-09-21).
