Small employer health insurance credit
Tax credit
Agency: Internal Revenue Service. Agency source
This directory is not tax advice. Confirm eligibility, tax-year rules, deadlines and filing requirements with a tax professional.
Check program requirements [IRS small business health care credit]
- Who qualifies
- Employers with fewer than 25 full-time equivalent employees, average wages below the annually adjusted limit, and qualifying SHOP coverage (or an exception), paying at least 50% of employee-only premiums. [IRS small business health care credit]
- What it’s worth
- Up to 50% of qualifying premiums for taxable employers, or 35% for eligible tax-exempt employers; the credit phases down with wages and employee count. [IRS small business health care credit]
- How to claim
- Calculate with Form 8941. Businesses include it in the general business credit on the income tax return; tax-exempt employers file Form 990-T even if otherwise not required. [IRS small business health care credit]
- Deadlines and application windows
- Available for two consecutive taxable years. Use the wage thresholds and form instructions for the tax year being claimed. [IRS small business health care credit]
Amounts are subject to the conditions in each listing. A source review does not mean applications are open or that a business qualifies.
Official sources
Listing reviewed