Fair and Accountable IRS Reviews Act

Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, I rise today in support of H.R. 4430, which expands the number of public companies that can qualify as a well-known seasoned issuer, or WKSI. This designation is a special status conferred on companies that frequently raise money by issuing securities from the public.

Think of WKSI status like having frequent-flyer privileges. It allows companies that are well known to regulators and the public to raise money without needing permission. These companies are widely followed in the markets, so there are a lot of eyes, so to speak, watching what they are doing. The main requirement for a company to meet WKSI status is that it has previously issued $700 million or more in securities.

The current bill would lower that threshold to $400 million. By reducing the current WKSI threshold, the bill allows an additional 400 companies to qualify on top of the 2,000 or so companies that qualify today.

One final thing this bill does is provide transparency around companies that have been disqualified from operating as WKSIs. Notably, a company can lose its WKSI status if it has been convicted of a securities-related felony or a misdemeanor or has violated the antifraud provisions of the securities laws. Notable examples include UBS and Bank of America, which each previously lost their WKSI status due to fraud violations.

However, even if a company loses their status through such a violation, it can ask the SEC for a waiver to continue operating as a WKSI. UBS and Bank of America both sought and received such waivers.

Importantly, though, waivers are rarely formally denied because SEC staff normally gives a company a heads-up that their waiver is likely to be denied, so many companies simply withdraw their waiver requests. The final provision of this bill provides investors on an annual basis a view into the number of waiver requests that have been withdrawn.

Mr. Speaker, I support this bill and urge all Members to do the same.

Mr. Speaker, I reserve the balance of my time.

Mr. Speaker, I yield myself the balance of my time.

Mr. Speaker, I support this bill, and I yield back the balance of my time.

Mr. Speaker, I thank the previous speakers for their kind words and assistance on this bill. I also will address the Fair and Accountable IRS Reviews Act.

For decades, Federal laws required that before the IRS can impose penalties on a taxpayer, an agent must first receive written approval from that agent's immediate supervisor.

Congress put this safeguard in place to ensure that penalties are imposed fairly, consistently, and with appropriate oversight. A supervisor's signature helps prevent the use of penalties as a pressure tactic and creates a transparent record that benefits both taxpayers and the government in collection and appeals proceedings.

In recent years, unfortunately, a regulatory interpretation complicated the intent of this longstanding statute. Instead of adhering to the clear requirement that an agent's immediate supervisor must approve a penalty at the time of the initial determination, supervisory appeal could be obtained at any point in the process and the term ``immediate supervisor'' was broadened beyond Congress' original intent.

As a result, an agent could propose a penalty without prior review and later seek approval from a wide range of individuals, weakening the transparency and accountability that the law was designed to ensure.

The Fair and Accountable IRS Reviews Act restores clarity. It reaffirms that an IRS agent's actual immediate supervisor must provide written approval at the initial determination of a penalty, ensuring proper oversight from the start. This simple clarification strengthens the taxpayer protections and promotes a consistent and reliable penalty process.

Mr. Speaker, Americans deserve a tax system that is fair, predictable, and transparent. This bill moves us closer to that goal.

I thank Chairman Smith for his leadership on the Committee on Ways and Means and all of the Members on the other side of the aisle who helped shoot it out of the committee on such a bipartisan basis. I thank Chairman Smith for his commitment to strengthening fairness and accountability within our tax system.

Mr. Speaker, I urge my colleagues to support the bill.

Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 4429) to require the Securities and Exchange Commission to revise the definition of a qualifying investment, for purposes of the exemption from registration for venture capital fund advisers under the Investment Advisers Act of 1940, to include an equity security issued by a qualifying portfolio company and to include an investment in another venture capital fund, and for other purposes, as amended.

Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days to revise and extend their remarks and include extraneous material on this bill.

Mr. Speaker, I yield 5 minutes to gentlewoman from Missouri (Mrs. Wagner).

Mr. Speaker, I include in the Record the CBO estimate for this bill.

Legislation Considered Under Suspension of the Rules

The Majority Leader of the House of Representatives

announces bills that will be considered under suspension of

the rules in that chamber. Under suspension, floor debate is

limited, all floor amendments are prohibited, points of order

against the bill are waived, and final passage requires a

two-thirds majority vote.

At the request of the Majority Leader and the House

Committee on the Budget, CBO estimates the effects of those

bills on direct spending and revenues. CBO has limited time

to review the legislation before consideration. Although it

is possible in most cases to determine whether the

legislation would affect direct spending or revenues, time

may be insufficient to estimate the magnitude of those

effects. If CBO has prepared estimates for similar or

identical legislation, a more detailed assessment of

budgetary effects, including effects on spending subject to

appropriation, may be included.

Mr. Speaker, I yield myself the balance of my time.

For reasons I explained earlier, I urge all of my colleagues to support this bill, and I yield back the balance of my time.

Mr. Speaker, I yield myself such time as I may consume.

I rise in support of H.R. 4431, the Improving Capital Allocation for Newcomers Act of 2025, or ICAN Act, offered by Mr. Timmons and Ms. Pettersen.

Like the DEAL Act, the ICAN Act also amends the definition of ``venture capital fund'' under the Investment Company Act. Currently, in order to qualify as a venture capital fund under this act, a private fund must hold $12 million or less in assets and have no more than 250 investors. This bill adjusts those figures upward, raising the cap to $50 million and the investor limit to 500.

It also requires the SEC to conduct a study 5 years after enactment to determine the bill's impact on how capital is being allocated to companies owned by these venture funds. Based on the results of the study, the SEC could further adjust the $50 million and 500 beneficial owner limit upward or downward.

The ICAN Act should help venture funds to more widely invest in small and growing businesses.

Mr. Speaker, I urge all colleagues to support H.R. 4431 to make it easier for capital to flow to startups and small businesses. This bill does so by increasing the dollar size and number of investors for venture funds.

Additionally, it requires the SEC to conduct a study that examines how funds are invested across several metrics, including the veteran status of a company's founders, geographical location, and industry sector, size, and state of development. Based on the results of this study, the SEC would be authorized to adjust the bill's limits upward or downward by a tailored amount, if needed.

Mr. Speaker, I urge my colleagues to support this bill, and I yield back the balance of my time.

Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 4431) to amend the Investment Company Act of 1940 with respect to the definition of qualifying venture capital funds, and for other purposes, as amended.

Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days to revise and extend their remarks and include extraneous material on the bill.

Mr. Speaker, I yield 3 minutes to the gentleman from South Carolina (Mr. Timmons).

Mr. Speaker, I include in the Record the CBO estimate for this bill.

Legislation Considered Under Suspension of the Rules

The Majority Leader of the House of Representatives

announces bills that will be considered under suspension of

the rules in that chamber. Under suspension, floor debate is

limited, all floor amendments are prohibited, points of order

against the bill are waived, and final passage requires a

two-thirds majority vote.

At the request of the Majority Leader and the House

Committee on the Budget, CBO estimates the effects of those

bills on direct spending and revenues. CBO has limited time

to review the legislation before consideration. Although it

is possible in most cases to determine whether the

legislation would affect direct spending or revenues, time

may be insufficient to estimate the magnitude of those

effects. Tf CBO has prepared estimates for similar or

identical legislation, a more detailed assessment of

budgetary effects, including effects on spending subject to

appropriation, may be included.

Mr. Speaker, I yield myself the balance of my time.

For the reasons I explained earlier, I urge all of my colleagues to support this bill, and I yield back the balance of my time.

Mr. Speaker, I move to suspend the rules and pass the bill (H.R. 4430) to lower the aggregate market value of voting and non- voting common equity necessary for an issuer to qualify as a well-known seasoned issuer, as amended.

Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days to revise and extend their remarks and include extraneous material on this bill.

Mr. Speaker, I yield 3 minutes to the gentleman from Wisconsin (Mr. Steil).

Mr. Speaker, I am prepared to close, and I reserve the balance of my time.

Mr. Speaker, I include in the Record the CBO estimate for this bill.

Legislation Considered Under Suspension of the Rules

The Majority Leader of the House of Representatives

announces bills that will be considered under suspension of

the rules in that chamber. Under suspension, floor debate is

limited, all floor amendments are prohibited, points of order

against the bill are waived, and final passage requires a

two-thirds majority vote.

At the request of the Majority Leader and the House

Committee on the Budget, CBO estimates the effects of those

bills on direct spending and revenues. CBO has limited time

to review the legislation before consideration. Although it

is possible in most cases to determine whether the

legislation would affect direct spending or revenues, time

may be insufficient to estimate the magnitude of those

effects. If CBO has prepared estimates for similar or

identical legislation, a more detailed assessment of

budgetary effects, including effects on spending subject to

appropriation, may be included.

Mr. Speaker, I urge my colleagues to support this bill, and I yield back the balance of my time.

Mr. Speaker, I rise for my bill, H.R. 4431, the Improving Capital Allocation for Newcomers Act, also known as the ICAN Act.

I am proud to partner with my colleague Representative Brittany Pettersen on this bipartisan legislation that expands access to venture capital far beyond our Nation's traditional financial hubs.

H.R. 4431 updates the qualifying venture capital fund exemption by raising the capital cap from $10 million to $50 million and by increasing the allowable number of investors from 250 to 500.

These updates allow venture funds to raise more capital from more individuals. This will support the growth of startups located outside of Silicon Valley and other major financial centers.

Today, nearly half of the United States' venture funding goes into companies in California alone, and more than 70 percent is concentrated in only four States. Meanwhile, many entrepreneurs in other regions struggle to secure critical Series A funding, which limits their ability to grow and attract later-stage investments.

Mr. Speaker, an entrepreneur in Spartanburg, South Carolina, deserves the same access to capital as an entrepreneur in Silicon Valley. This bill democratizes venture capital by enabling more Americans to invest in their own communities, drive innovation, and create good-paying jobs. It is about expanding opportunity and fostering economic growth in regions that are much in need.

Mr. Speaker, I urge my colleagues on both sides of the aisle to support this legislation and to help ensure that investors and entrepreneurs in every one of our districts have a fair and level playing field.

Mr. Speaker, I yield 3 minutes to the gentleman from Illinois (Mr. Casten), who is also the vice ranking member of the Committee on Financial Services.

Mr. Speaker, I yield myself the balance of my time.

Our economy is struggling. People cannot afford groceries and gas. Every day, it seems more and more people are getting laid off. The American Dream is increasingly out of reach.

A core engine of our economy has always been the entrepreneurs who take the risk of starting their own company. By implementing key changes to the legal definition of a venture capital fund, H.R. 4429 will make it easier for capital to flow into American small businesses.

Mr. Speaker, I urge my colleagues to support this bill, and I yield back the balance of my time.