An Act Creating And Sustaining Jobs Through The Development Of Cooperatives And Employee-Owned Businesses By Providing Tax Deductions For Certain Qualified Business Activities

LD 756 creates the Maine Employee Ownership Center to support businesses transitioning to employee ownership through education, technical assistance, and resource connections. It provides two key tax benefits: a deduction of up to $750,000 for gains from selling a business to an employee-owned structure (like an ESOP or worker cooperative), and a deduction for interest on loans used to acquire such businesses. The bill directly affects Maine business owners selling to employees, employee groups forming ownership structures, and qualifying businesses (non-publicly traded entities registered in Maine). These provisions aim to incentivize employee ownership models that retain jobs and stimulate local economic development.