Contact Congress about H.R. 3275: Small Business Tax Relief Act
Some smaller corporations would pay 18% on their first $400,000 of taxable income. Many investment fund managers would lose lower-tax treatment for carried interest. Some self-employed people would get a bigger deduction, while stock buybacks would face a higher tax.
Modern Action explains legislation in plain English, helps you choose whether to support, oppose, or ask for changes, and drafts a message tied to the bill, your stance, and the elected officials who can act on it.
Small Business Tax Relief Act is a House bill in committee. The latest recorded action: Referred to the House Committee on Ways and Means.
Latest action on H.R. 3275: Referred to the House Committee on Ways and Means.
Who this affects: This bill mainly affects smaller corporations, investment fund managers, self-employed people, and companies that buy back their own stock. Smaller corporations could owe less federal income tax if they qualify. Many investment fund managers could owe more tax on partnership income. Some self-employed people under the income limit could owe less income tax.
Why this matters: This bill could lower taxes for some smaller corporations while raising taxes on many investment fund managers. It changes how the tax code treats income from work, investment returns, and business ownership. The biggest practical effect depends on each taxpayer’s income, business structure, and future IRS rules.
Key provisions in H.R. 3275
- Smaller corporations would get a lower tax rate on part of their income. If they have $5 million or less in taxable income, they would pay 18% on the first $400,000 and 21% above that, while larger corporations would keep paying 21% on all taxable income.
- The new smaller-corporation tax rates would start with tax years that end after the bill becomes law.
- The bill would replace the current carried-interest rule in the federal tax code. The new rule would tax many investment managers’ partnership gains as ordinary income, meaning income taxed more like pay for work.
- The bill defines the main types of partnerships and interests covered by the new rule. It also says when a partner’s own invested money can still get capital-gain tax treatment.
- Investment managers would usually owe ordinary income tax when they sell or give up an investment services partnership interest. The bill would require tax recognition even when other rules might delay it, but it keeps specific exceptions for gifts and transfers at death.
How Modern Action helps you take action on H.R. 3275
You do not have to start with a blank letter. Modern Action turns the bill, your position, and the relevant congressional context into a message you can edit and send. The goal is to make contacting Congress clear, specific, and useful without forcing you to parse bill text or figure out the right office on your own.
Questions people ask about H.R. 3275
- What is H.R. 3275?
- Some smaller corporations would pay 18% on their first $400,000 of taxable income. Many investment fund managers would lose lower-tax treatment for carried interest. Some self-employed people would get a bigger deduction, while stock buybacks would face a higher tax.
- How do I support or oppose H.R. 3275?
- Choose support, oppose, or ask for changes on Modern Action. The action flow drafts the message for you and keeps the wording tied to this bill.
- Who should I contact about H.R. 3275?
- Modern Action uses your location to route the action to the congressional offices relevant to the bill and your representation.
- Can Modern Action explain H.R. 3275 before I act?
- Yes. Modern Action gives you a plain-English summary, current status, and action context before you send anything.
