Small Business Health Care Tax Credit

Small Business Health Care Tax Credit

Finally, a break for small businesses.

Purpose:
To help small business and small non-profit organizations afford the cost of covering their employees.



How Do You Claim the Credit?

• in 2014 you have to have fewer than 25 employees and provide affordable health insurance coverage you may qualify for the tax credit of up to 50%. For the non-profit sector the maximum is 35%. This helps to offset the cost of providing health insurance to employees.
  
• The business must cover at least 50% of the premium for  single health care coverage for each of the eligible employees.
  
• The average of the employees wages must be less than $50,000 annually
  
• The smaller the business the larger the credit. It works on a sliding scale.
  
  

Forms to Obtain Credit:

• for profit------form 8941
  
• non profit-----form 990T
  
  

The Small Business Tax Credit

A key component in the new Affordable Care Act to help making healthcare affordable.

Regards,
Vincent and the Staff at Mainline Insurance

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