The IRS has released some guidance on the new temporary health insurance tax credit that is sure to have Arizona small business owners feeling better right away. Beginning in 2010, businesses with fewer than 25 full-time employees whose average salary is less than $50,000 will qualify for a tax credit. The credit, which was created by the recent health care reform act, covers up to 35% of an employer’s cost for providing health insurance to employees.
Other benefits include:
- Qualified small businesses in states that offer health insurance tax credits will be allowed to take both the state and the full federal credit.
- Small businesses can take the credit not only for basic health care but also for add-ons like dental and vision.
- Employers are given three options for determining their eligibility and are free to use the one that is most beneficial to them.
- The IRS is offering transition relief to businesses whose current health plans don’t meet health care reform standards, giving employers breathing room to change their policies next year.
- Businesses can take the credit from 2010-2013 and then any two years after that.
Nearly 4 million small business owners will receive postcards from the IRS informing them of the new guidance. For more information, small business owners can visit the IRS website at irs.gov.
At The Pew Law Center, PLLC, we understand that if you do run into tax problems with the IRS, it can be overwhelming. Whether you owe back taxes, haven’t filed taxes for several years, or have received an audit or wage garnishment notice from the IRS, the attorneys at The Pew Law Center, PLLC can help you or your business with these and any other federal and state tax problems.
We are a dedicated debt relief law firm. We help people from Phoenix, Mesa, Gilbert, Queen Creek, Chandler, Scottsdale, Apache Junction, Tempe and throughout Arizona work through tough tax problems or file for bankruptcy every day. We can help stop the debt cycle and give you relief from your overwhelming, burdensome, and crushing tax problems. Please don’t wait another moment. Call us right away – our attorneys will help get you the fresh start you deserve.