liable for the liability of any other employer with which they are aggregated under subsection (f)(2). (f) Definitions For purposes of this section— (1) Automatic contribution plan or arrangement The term automatic contribution plan or arrangement has the meaning given such term under section 414(dd), and (2) Employer The term employer includes all employers treated as a single employer under subsection (b), (c), (m), or (o) of section 414. (3) Qualified State law The term qualified State law means a State law (as it may be amended from time to time) that— (A) was enacted before January 1, 2027, and (B) requires certain employers to facilitate an automatic IRA arrangement pursuant to a payroll deduction savings program of the State. . (2) Clerical amendment The table of sections for chapter 43 is amended by adding at the end the following new item: Sec. 4980J. Failure to maintain or facilitate automatic contribution plans or arrangements. . (c) Effective date The amendments made by this section shall apply to plan years beginning after December 31, 2026. 3. Credit for certain small employer automatic IRA arrangements (a) In general Subpart D of part IV of subchapter A of chapter 1 is amended by adding at the end the following new section: 45BB. Credit for certain small employer automatic IRA arrangements (a) General rule For purposes of section 38, in the case of an eligible employer, the small employer automatic IRA arrangement credit determined under this section for any taxable year in the credit period is $500. (b) Definitions For purposes of this section— (1) Eligible employer The term eligible employer means, with respect to the calendar year in which the taxable year begins, an employer which— (A) (i) facilitates an automatic IRA arrangement (as defined in section 414(dd)(8)), or an arrangement described in 4980J(a)(2), and (ii) is described in 408(p)(2)(C)(i), and (B) did not maintain an eligible employer plan during the portion of the calendar year preceding the commencement of such arrangement and the