Section 1. Short title
This Act may be cited as the S-Corporation Additional Participation Act of 2025 or the S-CAP Act of 2025.
(a) In general
Section 1361(b)(1)(A) of the Internal Revenue Code of 1986 is amended by striking 100 and inserting 250.
(b) Effective date
The amendment made by this section shall apply to taxable years beginning after December 31, 2025.