What is Small Business Tax Credit?

A Small Business Tax Credit is a tax credit designed to help small employers provide health insurance to employees. Small businesses that contribute to the cost of their employees’ premiums may be eligible for a tax credit of up to 50 percent of the amount they pay (35 percent for non-profits). To estimate whether or not you may be eligible for a tax credit, you can use our Small Business Tax Credit Calculator. The credit is available to eligible employers for two consecutive taxable years. Small business tax credits will be provided on an annual basis by the IRS, and is processed with the employer’s tax returns. For more information visit the IRS website.

Related FAQs:
As a business owner, am I eligible to offer health insurance to my employees through the Small Business Marketplace? How do I apply?
What is the Small Business Marketplace?
As an employer, what information should I gather in order to apply to offer coverage to my employees through the Small Business Marketplace?