A bill to amend the Internal Revenue Code of 1954 to facilitate acquisition of ownership of private enterprises by the employees of such enterprises.

Provides that a qualified employee benefit trust shall have the tax characteristics of a charitable organization for purposes of income, estate, and gift taxes.

Allows a tax deduction to corporations for the amount of dividends which they pay on stock held by qualified profit-sharing or stock bonus plan trusts, provided that the dividends are promptly paid over to the employees covered by the plan.

Provides for an increase from 15 percent to 30 percent in the percentage limitation on the maximum annual tax-deductible contribution that can be made to a qualified employee benefit trust.

Authorizes an additional tax deduction for a corporation making a contribution to a qualified profit-sharing or stock bonus trust where the trust pays off the indebtedness incurred to purchase stock of the corporation. States that the amount of the special deduction would be 50 percent of the principle amount of the indebtedness paid by the trust during the taxable year of the corporation.