If you are a small business owner offering group health insurance for your employees, you may be eligible to receive a health care TAX CREDIT to help you provide the coverage for them, starting with tax year 2010.
If eligible, your business can receive a federal tax credit for up to 35% of your health care premium costs in 2010, increasing to 50% in 2014.
An employer may qualify for this new tax credit if they meet the following requirements:
1. The company has no more than 25 full-time employee “equivalents” (FTEs) for the tax year;
2. The company provides health care coverage to its employees under a qualified group health plan and pays at least half (50%) of the insurance premiums for employees at the single (employer-only) coverage rate;
3. The company’s employees must average less than $50,000 in annual wages per FTE employee.
To see if you may be able to claim the Small Business Tax Credit, complete the attached 3 Simple Steps worksheet. Then, we recommend you contact your tax professtional, or visit the IRS web site at http://www.irs.gov/newsroom/article/0 for additional information. You can also contact us, and we will send you a list of frequently asked questions to help you determine if your business qualifies.
Thank you for choosing Peoples First as your Employee Benefits Specialists!