year, and such other matters as the Secretary may re-
quire. The reports required by this subsection— 
‘‘(1) shall be filed at such time and in such 
manner as the Secretary prescribes, and 
‘‘(2) shall be furnished to individuals— 
‘‘(A) not later than January 31 of the cal-
endar year following the calendar year to which 
such reports relate, and 
‘‘(B) in such manner as the Secretary pre-
scribes. 
‘‘(i) REGULATIONS.—The Secretary shall issue such 
regulations or other guidance as may be necessary to carry 
out this section, including for purposes of subsection 
(c)(2) the making reports by regarding qualified start-up 
expenditures of an entity in which the taxpayer directly 
holds stock or a capital or profits interest.’’. 
(b) TAX ON PROHIBITED TRANSACTIONS.— 
(1) IN
GENERAL.—Paragraph (1) of section 
4975(e) of such Code (relating to prohibited trans-
actions) is amended by striking ‘‘or’’ at the end of 
subparagraph (F), by redesignating subparagraph 
(G) as subparagraph (H), and by inserting after 
subparagraph (F) the following new subparagraph: 
‘‘(G) a small business start-up savings ac-
count described in section 530A, or’’. 
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(2) SPECIAL RULE.—Subsection (c) of section 
4975 of such Code is amended by adding at the end 
of subsection (c) the following new paragraph: 
‘‘(7) SPECIAL
RULE
FOR
SMALL
BUSINESS 
START-UP
SAVINGS
ACCOUNTS.—An individual for 
whose benefit a small business start-up savings ac-
count is established and any contributor to such ac-
count shall be exempt from the tax imposed by this 
section with respect to any transaction concerning 
such account (which would otherwise be taxable 
under this section) if section 530A(d)(1) applies 
with respect to such transaction or if such trans-
action is a qualified start-up expenditure (as defined 
in section 530A(c)).’’. 
(c) FAILURE TO PROVIDE REPORTS ON SMALL BUSI-
NESS START-UP SAVINGS ACCOUNTS.—Paragraph (2) of 
section 6693(a) of such Code is amended by striking 
‘‘and’’ at the end of subparagraph (D), by striking the 
period at the end of subparagraph (E) and inserting ‘‘, 
and’’, and by adding at the end the following new subpara-
graph: 
‘‘(F) section 530A(h) (relating to small 
business start-up savings accounts).’’. 
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(d) EXCESS CONTRIBUTIONS.—Section 4973(b) of 
such Code is amended by adding at the end the following 
new subsection: 
‘‘(h) EXCESS CONTRIBUTIONS TO SMALL BUSINESS 
START-UP SAVINGS ACCOUNTS.—For purposes of this 
section, in the case of contributions to a small business 
start-up savings account (within the meaning of section 
530A(b)), the term ‘excess contributions’ means the sum 
of— 
‘‘(1) the excess (if any) of— 
‘‘(A) the amount contributed for the tax-
able year to such accounts (other than a roll-
over 
contribution 
described 
in 
section 
530A(d)(4)), over 
‘‘(B) the amount allowable as a contribu-
tion under section 530A(b)(1), and 
‘‘(2) the amount determined under this sub-
section for the preceding taxable year, reduced by 
the sum of— 
‘‘(A) the distributions out of the accounts 
for the taxable year, and 
‘‘(B) the excess (if any) of the maximum 
amount allowable as a contribution under sec-
tions 530A(b)(1) for the taxable year over the 
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amount contributed to the accounts for the tax-
able year. 
For purposes of this subsection, any contribution 
which is distributed from a small business start-up 
savings account in a distribution described in section 
530A(d)(3) shall be treated as an amount not con-
tributed.’’. 
(e) CLERICAL AMENDMENT.—The table of contents 
for subchapter F of chapter 1 of such Code is amended 
by adding at the end the following new item: 
‘‘PART IX. SMALL BUSINESS START-UP SAVINGS ACCOUNTS’’. 
(f) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2013. 
Æ 
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