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Employers missing out on health insurance tax credit

Real Estate Tax Talk

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We all know that health insurance is a big expense. If you have employees in your real estate business, you're probably finding it a struggle to provide them with good health coverage, or any coverage at all. However, if you do provide or want to provide employee health insurance, the federal government is prepared to help you in a big way.The massive health insurance reform enacted by Congress in 2010 created a brand-new tax credit for small employers who pay for health insurance for their employees. From 2010 through 2013, employers who qualify can claim a tax credit of up to 35 percent of their contributions to their employees' health insurance premiums, subject to certain limits. The percentage increases to 50 percent for 2014 and 2015. The credit ends in 2016.Obviously, if you qualify for the credit, you can save substantial taxes. Unfortunately, to date only about 14 percent of the 4.4 million employers eligible for the credit have applied for it. This may be because they don't k...