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A bill to amend the Internal Revenue Code of 1986 to provide for a microemployer pension plan startup credit.
5/24/2024, 10:56 AM
Summary of Bill S 4398
Bill 118 s 4398, also known as the "Microemployer Pension Plan Startup Credit Act," aims to amend the Internal Revenue Code of 1986 in order to provide a tax credit for microemployers who start a pension plan for their employees.
The bill specifically targets small businesses with fewer than 100 employees, known as microemployers, who may not have the resources to offer traditional pension plans. The proposed tax credit would incentivize these small businesses to establish retirement savings options for their employees by providing a credit for startup costs associated with setting up a pension plan.
The credit would be equal to 50% of the startup costs incurred by the microemployer, up to a maximum of $5,000 per year for the first three years of the plan's existence. This would help offset the financial burden of establishing a pension plan and encourage more small businesses to offer retirement benefits to their employees. Overall, the Microemployer Pension Plan Startup Credit Act aims to promote retirement savings and financial security for employees of small businesses by providing a tax incentive for microemployers to establish pension plans. This bipartisan bill seeks to support small businesses and their employees in planning for a secure financial future.
The bill specifically targets small businesses with fewer than 100 employees, known as microemployers, who may not have the resources to offer traditional pension plans. The proposed tax credit would incentivize these small businesses to establish retirement savings options for their employees by providing a credit for startup costs associated with setting up a pension plan.
The credit would be equal to 50% of the startup costs incurred by the microemployer, up to a maximum of $5,000 per year for the first three years of the plan's existence. This would help offset the financial burden of establishing a pension plan and encourage more small businesses to offer retirement benefits to their employees. Overall, the Microemployer Pension Plan Startup Credit Act aims to promote retirement savings and financial security for employees of small businesses by providing a tax incentive for microemployers to establish pension plans. This bipartisan bill seeks to support small businesses and their employees in planning for a secure financial future.
Current Status of Bill S 4398
Bill S 4398 is currently in the status of Bill Introduced since May 23, 2024. Bill S 4398 was introduced during Congress 118 and was introduced to the Senate on May 23, 2024. Bill S 4398's most recent activity was Read twice and referred to the Committee on Finance. as of May 23, 2024
Bipartisan Support of Bill S 4398
Total Number of Sponsors
1Democrat Sponsors
1Republican Sponsors
0Unaffiliated Sponsors
0Total Number of Cosponsors
2Democrat Cosponsors
0Republican Cosponsors
2Unaffiliated Cosponsors
0Policy Area and Potential Impact of Bill S 4398
Primary Policy Focus
Alternate Title(s) of Bill S 4398
A bill to amend the Internal Revenue Code of 1986 to provide for a microemployer pension plan startup credit.
A bill to amend the Internal Revenue Code of 1986 to provide for a microemployer pension plan startup credit.
Comments
Sponsors and Cosponsors of S 4398
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