1. Short title This Act may be cited as the CEO–Employee Paycheck Fairness Act of 2017 . 2. Expansion of denial of deduction for certain excessive employee remuneration (a) Expanded application of deduction denial if pay fairness requirement not met Section 162(m) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: (7) Special rule in case of companies not meeting pay fairness requirement (A) In general In the case of a publicly held corporation which does not meet the pay fairness requirement of subparagraph (B) for the taxable year— (i) no deduction shall be allowed under this chapter for applicable employee remuneration with respect to any employee to the extent that the amount of such remuneration for the taxable year with respect to such employee exceeds $1,000,000, and (ii) paragraph (4) shall be applied without regard to subparagraphs (B), (C), and (D) thereof. For purposes of the preceding sentence, the term employee includes any officer or director of the taxpayer and any former officer, director, or employee of the taxpayer. (B) Pay fairness requirement The pay fairness requirement of this subparagraph is met if— (i) (I) the average compensation paid by the taxpayer to or for all applicable United States employees for the taxable year, exceeds (II) the inflation and productivity growth adjusted average of such compensation for the preceding taxable year, and (ii) the aggregate compensation paid by the employer to or for all applicable United States employees for the taxable year is not less than the aggregate of such compensation for the preceding taxable year. (C) Applicable United States employee For purposes of this paragraph, the term applicable United States employee means, with respect to any taxable year, any employee— (i) whose services with respect to the employer are substantially all performed within the United States, and (ii) whose compensation from the employer for the taxable year does not exceed the dollar amount in effect under section