Tax filings for corporations and S corporations are due on March 15. The deadline quickly approaches!
The health care tax credit is part of the Affordable Care Act passed in 2010. For small businesses the Act includes a tax credit of up to 35% for the cost of employee health care. I have posted an article about the credit.
The credit has been in place since 2010 and increases in 2014. However, it appears that few eligible businesses are taking advantage of the credit. It was predicted that nearly $2 billion in claimed credits would be forthcoming for the 2010 tax year. By the end of 2011, however, it appeared that only $435 million in credits had been claimed.
This is a valuable credit that can be rolled forward or back. Talk about the credit with your tax and insurance professionals.