Bills · S 2818
IN COMMITTEE· 119TH CONGRESS
Senate BillS 2818Taxation
Tax Excessive CEO Pay Act of 2025
This bill increases corporate tax rates for large companies where the highest-paid employee makes significantly more than the median worker to help reduce income inequality.AI-written
INTRO SEP 16· LAST ACTION SEP 16
PASSAGE CHANCESLONG SHOT
5%
READING
4MIN
COSPONSORS
5
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
- Introduced only
tl;dr
AI-writtenHikes taxes on large corporations if their top executive's pay is more than 50 times higher than their average worker's pay, with steeper penalties for companies with even wider wealth gaps.
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed Senate
Passed House
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenFor decades, executive pay has grown much faster than the wages of average workers. This bill attempts to use the tax code to reverse that trend. If it becomes law, companies would face a financial choice: pay their workers more to lower the pay ratio or pay a significantly higher tax bill to the federal government. For voters, this matters because it directly addresses the wealth gap and could lead to higher wages for employees at some of the country's largest employers.
KEY PROVISIONS
4AI-extractedPROVISION 01
Creates a graduated tax penalty for companies with a pay ratio higher than 50 to 1.
It creates a direct financial cost for companies that maintain extreme pay gaps.
PROVISION 02
Increases the corporate tax rate by up to 5 percentage points for the highest ratios.
A 5% increase on a multi-billion dollar company represents a massive financial incentive to change pay structures.
PROVISION 03
Includes large private companies with over $100 million in receipts.
It prevents companies from going private just to avoid these transparency and tax rules.
PROVISION 04
Mandates regulations to prevent companies from using contractors to hide their true pay ratio.
It stops companies from firing low-wage workers and hiring them back as contractors to make the internal pay ratio look better on paper.
SPONSORSHIP
1 + 5
I· Vermont
YRS IN OFFICE
35
BILLS LED
56
COSPONSOR BREAKDOWNBIPARTISAN · 0%
DEM 5 REP 0 IND 0
ACTION TIMELINE
2 EVENTSSEP 16
Introduced in Senate
SEP 16
Read twice and referred to the Committee on Finance.
BILL INFO
TypeSenate Bill
NumberS 2818
Congress119th
StatusIn Committee
IntroducedSep 16, 2025
Last actionSep 16, 2025
READER REACTIONS
OVERALL SENTIMENT
No reactions yet. Be the first to weigh in.
Discussion
Loading comments...
IN COMMITTEE· 119TH CONGRESS · FINANCE COMMITTEE · INTRODUCED SEP 16, 2025
Senate BillS 2818Taxation
Tax Excessive CEO Pay Act of 2025
This bill increases corporate tax rates for large companies where the highest-paid employee makes significantly more than the median worker to help reduce income inequality.AI-written
INTRODUCED SEP 16, 2025· LAST ACTION SEP 16, 2025
PASSAGE CHANCES
5%
READING
4 min
COSPONSORS
5
COMPLEXITY
Moderate
