Retirement Tax Credit Parity for Cooperatives and Charities Act

Retirement Tax Credit Parity for Cooperatives and Charities Act

This bill allows an individual taxpayer who is eligible to participate in in a CSEC defined contribution pension plan a new tax credit for 10% of employer retirement savings contributions not exceeding $1,000 in a taxable year.

Bill 117 HR 6738, also known as the Retirement Tax Credit Parity for Cooperatives and Charities Act, is a piece of legislation introduced in the US Congress. The main purpose of this bill is to provide tax credits for employees of cooperatives and charities who participate in retirement savings plans.

The bill aims to promote retirement savings among employees of cooperatives and charities by providing them with the same tax benefits that are currently available to employees of other types of businesses. This includes allowing employees to make pre-tax contributions to their retirement savings plans and receive matching contributions from their employers.

The bill also seeks to simplify the process for cooperatives and charities to establish and maintain retirement savings plans for their employees. This includes providing guidance on how to comply with existing tax laws and regulations related to retirement savings plans. Overall, the Retirement Tax Credit Parity for Cooperatives and Charities Act is designed to encourage retirement savings among employees of cooperatives and charities, while also providing these organizations with the tools and resources they need to offer competitive retirement benefits to their employees.