Health insurance tax credits available

The South Carolina Small Business Chamber signed on to the following letter sent to two to the country’s largest tax preparer companies, H&R Block and Jackson Hewitt Tax Service, encouraging them to educate their clients about the small business health insurance tax credits available starting in 2010. This is but one of the ways the health insurance reform, the Affordable Care Act, will be helping make health insurance more affordable for small businesses.
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February 17, 2011

Dear Tax Professional,

Tax season is upon us once again, but this season brings with it an opportunity that hasn’t been available in the past—an opportunity to help save your small business clients some money. Thanks to the new healthcare law, small businesses with fewer than 25 full-time-equivalent employees and average wages of less than $50,000 will be eligible for a tax credit on their 2010 returns of up to 35% of their health insurance costs.

In the face of rising healthcare costs, the credit was included in the Patient Protection and Affordable Care Act to help the smallest businesses—the ones who have the hardest time affording insurance—provide their employees with coverage without breaking the bank. More than 4 million small businesses nationwide, or 83%, are eligible to receive the tax credit on their 2010 taxes. However, many don’t know it exists. It’s up to you to inform them.

We encourage you to educate your clients who are eligible for this credit so they can take advantage of it. It was created specifically to bring financial relief to the millions of small business owners struggling to afford health insurance. By spreading the word, you can make a substantial impact and ensure this credit doesn’t go unnoticed in the days leading up to the April 15 deadline.

Regards,

American Booksellers Association
American Small Business League
American Sustainability Business Council
Bay Area Council
Business for Shared Prosperity
Capital Area Independent Business Alliance
Gloucester Fishermen's Wives Association
Main Street Alliance
Massachusetts Fishermen's Partnership
National Puertorican Chamber of Commerce
National Small Business Association
National Gay and Lesbian Chamber of Commerce
Northeast Business Group on Health
Oregon Small Business Advisory Council
Oregon Small Business for Responsible Leadership
Oregon Small Business Healthcare Initiative
Small Business California
Small Business Majority
South Carolina Small Business Chamber of Commerce
Women Impacting Public Policy