Tax Expert Noel Spencer: Start-up Costs for Small Employer Pension Plan

Are employers allowed a tax credit equal to 50% of their qualified start-up costs for setting up a new retirement account and is it true that the credit cannot exceed $500?

Yes. An employer is allowed a tax credit of 50% of their start-up costs for setting up a new retirement plan. The credit cannot exceed $500 and is part of the general business credit. The credit applies to 50% of the first $1,000 of qualified expenses for each of the first three years of the plan (§45E).

Comments

Connor Paik selected as an All American High School Player CHICAGO — Monroe-Woodbury High School senior Connor Paik was one of just 64 players in all of the United States to receive the All American... Read more » United Way offers 24-hour resource for federal employees during government shutdown NEWBURGH — As the government shutdown continues, United Way of the Dutchess-Orange Region wants to make sure that federal employees... Read more » ‘Dire need’ for a second access way By Nancy Kriz MONROE — The South Orange Family YMCA’s $2.1 million expansion project remains on hold and may remain in limbo... Read more » Service for 12 Don't be an ox walking around here. "Ox" is part of the sign for the Lenox outlet, home to fine china and glassware, located in Central Valley to the left of... Read more »

---

Subscribe to our mailing list

* indicates required

Email Address *

Community Newspapers

• Advertiser News North
• Advertiser News South
• Chronicle
• Photo News
• Pike County Courier
• Sparta Independent
• Township Journal
• Warwick Advertiser
• West Milford Messenger