### Question
How does Determination of Tax Liability define qualified startup costs?


### Answer
Under *26 U.S.C. § 45E*, **qualified startup costs** is defined as:

> any ordinary and necessary expenses of an eligible employer which are paid or incurred in connection with—


(i) the establishment or administration of an eligible employer plan, or


(ii) the retirement-related education of employees with respect to such plan

#### Citation:
  - *26 U.S.C. § 45E*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter A-Determination of Tax Liability > PART IV-CREDITS AGAINST TAX > Subpart D-Business Related Credits**

