§45T Auto-enrollment option for retirement savings options provided by small employers

Summary

Gives a $500 tax credit to an eligible employer for each taxable year in a three-year window after the employer adds an automatic-enrollment option to a retirement plan. The credit is $500 for each year inside that three-taxable-year period and zero for years outside it. The three-year window starts with the first taxable year the employer puts an eligible automatic contribution arrangement into a qualified employer plan. A year only counts if the auto-enroll option is actually in the plan for that year. "Eligible employer," "eligible automatic contribution arrangement," and "qualified employer plan" are defined in other parts of the tax code (see 26 U.S.C. 408(p)(2)(C)(i), 414(w)(3), and 4972(d)).