Small Business Owner to Get Tax Credit for Employee Healthcare

Currently, small businesses may qualify for a tax credit which will cover a percentage of the cost of premiums for health insurance plans. The IRS mailed out postcards to small businesses notifying them of this new tax credit, so any small business owner who may not be providing health insurance for their workers or who currently does provide health insurance, may want to look to see if they qualify for this tax credit.

Providing health insurance coverage is an essential perk to retaining employees and signing on new talent. The group insurances is expensive, small business owners have to deal with the risks of someone getting sick and being out an extended period of time, because they did not get treatment right away, by trying to avoid the cost of the health care or simply they left to go work for a competitor. In small companies the loss of one individual can do irreparable harm to the business operations.

This extra incentive in the form of a tax credit may be what some small business owners need to provide health care for their employees enabling them to keep employees motivated and turnover low while allowing them to attract better talent and growing their business.