28. August 2011 06:31
Part of last year’s health reform legislation, included a tax credit “Small Employer Health Insurance Credit” (SEHIC) for small employers offering health insurance to their employees. For eligible small employers the tax credit can be up to 35% of qualified health insurance premiums.
There are of course restrictions and phase outs, but the tax credit is still worth looking into. To be eligible, a business must provide health insurance, must have no more than 25 full time equivalent employees and must have an annual average wage or salary of $50,000. The credit is available for any tax year beginning in 2010, 2011, 2012 or 2013.
The first link below provides a deeper explanation of the tax credit.
The second link is provided by a member of the WSCPA and someone who has actually used the credit for some of his clients. Kell Rabern, CPA of Bashey, Hutchinson & Walter PLLC, was kind enough to provide a document on how to calculate and how get started using this tax credit. I would recommend looking at his link before you get started.