Have you gotten your postcard from the IRS?
Millions have been sent to small business owners alerting them to the new Small Business Health Care Tax Credit and to encourage them to check their eligibility.
What if you don’t get a postcard? No problem, your small business might still be eligible provided it fits these parameters:
· Covers at least 50 percent of the cost of health-care coverage for some workers based on the single rate;
· Has less than the equivalent of 25 full-time workers;
· And pays annual wages below $50,000.
The maximum credit a small business can receive is up to 35 percent of its 2010 premium cost. This rate increases to 50 percent on Jan. 1, 2014. The tax credit phases out gradually for firms with average wages between $25,000 and $50,000 and for firms with between 10 and 25 full-time employees.
Want to learn more? Check out the IRS video on You Tube or visit the IRS to get all the details and then some.
Will this new tax credit help your small business?