Tax Credit for expenses

[FJR]

I wasn't sure if the tax credit for covering the expenses of starting a new plan phases out. In other words if I have a company who wants to start a plan in 2005, can they still get the potential $500 credit for 05, 06, 07? Does it ever phase out?

[Archimage]

You can only claim the credit for the first three years of the plan. EGTRRA sunsets in 2010 so unless the sunset provision is removed the answer to your question is 2010.