The proposed bill, known as the "Stop Bad Employers by Zeroing Out Subsidies Act," introduces an excise tax on large employers, defined as those employing an average of at least 500 employees, equal to 100% of the qualified employee benefits received by their employees for the taxable year. The bill outlines what constitutes "qualified employee benefits," which includes various federal assistance programs such as supplemental nutrition, school lunch programs, housing assistance, and medical assistance under Medicaid. Additionally, it specifies that any inquiries regarding an applicant's receipt of these benefits are prohibited during the hiring process.

The administration of this tax will fall under the director of taxation, who will oversee the collection and remittance of the tax revenue to the state treasury, ensuring that it is credited entirely to the state general fund. The bill aims to discourage large employers from relying on federal benefits to support their employees, thereby promoting fair employment practices. The act will take effect upon its publication in the statute book.