,,ii  #aag? ,,congress  #b;d ,session   
,s4 #daec  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,may #e1 #bjbb,mr4     
,hick5loop] introduc$ ! foll[+ bill2 :i*
 0 read twice & ref]r$ to ! ,committee  
on ,f9ance  ,a ,,bill  ,to am5d !       
,int]nal ,rev5ue ,code ( #aihf to       
enhance ! cr$it = small employ] p5sion  
plan />tup co/s4  #a4 ,%ort title ,?is  
,act may be cit$ z ! ,inc5tiviz+ ,small 
,bus9ess ,retirem5t ,sav+s ,act4  #b4   
,cr$its = employ] contributions by c]ta9
 eligible employ]s  7a7 ,9 g5]al        
,section #de;,e ( ! ,int]nal ,rev5ue    
,code ( #aihf is am5d$ by add+ at ! end 
! foll[+ new subsection3  7f7           
,additional cr$it = employ]             
contributions by c]ta9 eligible employ]s
  7#a7 ,9 g5]al ,9 ! case ( an eligible 
employ]1 ! cr$it all[$ = ! taxable ye>  
"u subsection 7a7 7det]m9$ )\t reg>d to 
?is subsection1 & aft] ! application (  
subsection 7b77 %all be increas$ by an  
am\nt equal to ! applicable p]c5tage (  
employ] contributions 7o!r ?an any      

elective def]rals 7z def9$ 9 section    
#djb7;g77#c777 made by ! employ] to an  
eligible employ] plan 7o!r ?an a def9$  
b5efit plan 7z def9$ 9 section          
#dad7;j777 = ! taxable ye>4  7#b7       
,limitations  7,a7 ,doll> limitation ,! 
am\nt det]m9$ "u p>agraph 7#a7 7be=e !  
application ( subp>agraph 7,b77 )       
respect to any employee ( ! employ] %all
 n exce$ #a1jjj4  7,b7 ,cr$it phase-out 
,) respect to any taxable ye>1 ! #a1jjj 
am\nt "u subp>agraph 7,a7 %all be r$uc$ 
by #b p]c5t = ea* employee by :i* !     
numb] ( employees ( ! employ] = ! prec$+
 taxable ye> exce$s #ej4  7,c7 ,only    
non-highly comp5sat$ employees tak5 into
 acc\nt ,= purposes ( p>agraph 7#a71    
only contributions ) respect to         
employees :o are n highly comp5sat$     
employee 7z def9$ 9 section #dad7q77    
%all be tak5 into acc\nt4  7#c7         
,applicable p]c5tage ,= purposes ( ?is  
subsection1 ! applicable p]c5tage is--  
7,a7 = ! fir/ cr$it ye> ) respect to !  
employ] = purposes ( subsection 7b7 & ! 

taxable ye> imm$iately foll[+ su* fir/  
cr$it ye>1 #ajj p]c5t1  7,b7 = ! #bnd   
taxable ye> foll[+ su* fir/ cr$it ye>1  
#ge p]c5t1  7,c7 = ! #crd taxable ye>   
foll[+ su* fir/ cr$it ye>1 #ej p]c5t1   
7,d7 = ! #d? taxable ye> foll[+ su* fir/
 cr$it ye>1 #be p]c5t1 &  7,e7 z]o p]c5t
 !reaft]4  4  7b7 ,disall[ance (        
d$uction ,section #de;,e7e77#b7 ( !     
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
to read z foll[s3  7#b7 ,disall[ance (  
d$uction ,no d$uction %all be all[$--   
7,a7 = t portion ( ! qualifi$ />tup co/s
 paid or incurr$ = ! taxable ye> :i* is 
equal to s mu* ( ! portion ( ! cr$it    
det]m9$ "u subsection 7a7 z is prop]ly  
allocable to su* co/s1 or  7,b7 = t     
portion ( ! employ] contributions made  
by ! employ] = ! taxable ye> :i* is     
equal to s mu* ( ! cr$it increase       
det]m9$ "u subsection 7f7 z is prop]ly  
allocable to su* contributions4  4  7c7 
,effective date ,! am5dm5ts made by ?is 
section %all apply to taxable ye>s      
beg9n+ aft] ! date ( ! enactm5t ( ?is   

,act4