H.R. 2692 · Where this bill is now
In committee
Introduced in the House, sent to the Committee on Ways and Means, Apr 7, 2025
What this bill does
In plain words · AI-written from the official summaryTax deductions denied for anti-union activities
This bill would prevent companies from deducting certain business expenses related to discouraging employees from joining or supporting labor organizations. These would include wages and costs for meetings where labor unions are discussed, as well as expenses tied to unfair labor practice complaints or settlements. Companies would also have to report these expenses to the government and face penalties for not doing so.
How it affects you
If you work for a company, this could affect how your employer handles labor organizing efforts on the job. Employers would face financial penalties and reporting requirements if they spend money on anti-union activities, which supporters say levels the playing field for workers interested in unions. The bill itself does not directly change your rights, but it changes the tax treatment of employer spending on these activities.
Read the official summary (Introduced in House, Apr 7, 2025)
No Tax Breaks for Union Busting (NTBUB) Act
This bill excludes from the tax deduction for ordinary and necessary business expenses amounts paid or incurred to influence employees with respect to labor organizations or labor organization activities. The bill also imposes information reporting requirements related to such expenses and imposes penalties for failure to comply.
Under the bill, amounts paid to influence employees with respect to labor organizations include amounts paid (including wages and other costs)
• in connection with an action that results in a complaint or settlement related to an unfair labor practice or a finding of interference, influence, or coercion related to railway employees’ rights to organize and bargain collectively;
• for any meeting or training attended by employees and at which labor organizations are discussed; and
• that require certain employer disclosures and financial reporting.
(Some exceptions apply.)
The bill requires employers to file a return reporting certain information related to expenses paid to influence employees with respect to labor organizations and imposes a penalty for noncompliance. The amount of the penalty is the greater of (1) $10,000, or (2) $1,000 multiplied by the number full-time equivalent employees. Additional penalties apply for violations that continue for more than 90 days.
The bill also imposes information reporting requirements on persons conducting activities on behalf of another person to influence employees with respect to labor organizations.
The bill allows certain penalties for noncompliance with the reporting requirements to be waived if noncompliance is due to reasonable cause and not willful neglect.
Written by AI (Claude) using only the official summary by the Congressional Research Service, the Library of Congress’s nonpartisan research staff. It can miss nuance, so check the official summary and the bill text for details.
1st SessionH. R. 2692
A BILL
No Tax Breaks for Union Busting (NTBUB) Act
Sponsor: Rep. Donald Norcross (D-NJ-1) · Introduced Apr 7, 2025 · Taxation · 1 version of the text
Sources: Congress.gov actions and votes · bill text from GovInfo · latest official action Apr 7, 2025: “Referred to the House Committee on Ways and Means.”