Tax Excessive CEO Pay Act of 2025

[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [H.R. 5298 Introduced in House (IH)] <DOC> 119th CONGRESS 1st Session H. R. 5298 To amend the Internal Revenue Code of 1986 to impose a corporate tax rate increase on companies whose ratio of compensation of the CEO or other highest paid employee to median worker compensation is more than 50 to 1, and for other purposes. _______________________________________________________________________ IN THE HOUSE OF REPRESENTATIVES September 11, 2025 Ms. Tlaib (for herself, Ms. Pingree, Mr. Huffman, Mrs. Ramirez, Mr. McGovern, Ms. Omar, Mr. Khanna, Ms. Meng, Ms. Simon, Mr. Garcia of Illinois, Ms. Jayapal, Mr. Deluzio, Mrs. Watson Coleman, Ms. Clarke of New York, Ms. Balint, Ms. Pressley, Mr. Pallone, Ms. Lee of Pennsylvania, Mr. Jackson of Illinois, Ms. Randall, and Mr. Mfume) introduced the following bill; which was referred to the Committee on Ways and Means _______________________________________________________________________ A BILL To amend the Internal Revenue Code of 1986 to impose a corporate tax rate increase on companies whose ratio of compensation of the CEO or other highest paid employee to median worker compensation is more than 50 to 1, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``Tax Excessive CEO Pay Act of 2025''. SEC. 2. CORPORATE TAX INCREASE BASED ON COMPENSATION RATIO. (a) In General.--Section 11 of the Internal Revenue Code of 1986 is amended by adding at the end the following new subsection: ``(e) Tax Increase Based on Pay Ratio.-- ``(1) In general.-- ``(A) Increase imposed.--In the case of any corporation (except as provided in subparagraph (B)(ii)(II)) the pay ratio of which is greater than 50 to 1 for a taxable year, the 21 percent rate under subsection (b) for such taxable year shall be increased by the penalty determined u