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QSBS Benefits Expanded Under Senate Finance Proposal

On June 16, 2025, the Senate Finance Committee released its own version of proposed legislation following the House’s passage of the “One Big Beautiful Bill Act” (H.R. 1). While the House bill did not introduce any changes to Section[1] 1202 for “qualified small business stock” (QSBS), the Senate Finance proposal introduces significant expansions of the tax benefits of QSBS acquired after the date of the enactment of the final legislation.Summary of Current LawThe QSBS exemption allows noncorpor...

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