I was attending an event about a month ago where hospitality executives were getting together to meet, greet and talk shop. As you might imagine, a significant point of focus was healthcare reform, and what it would mean for their bottom lines. Even with experts in place to lead presentations and facilitate discussion, there were still a lot of unanswered questions.
Well, I’m here to tell you one thing that isn’t going to change for the upcoming tax year. The Small Business Health Care Tax Credit. Just as it has been in the previous three years, small employers can quality for a credit of up to 35% of their eligible healthcare expenses. If I’ve said it once (and if you’re reading this, you know I have), I’ve said it a dozen times. This credit can mean substantial savings – so don’t miss out on it.
OK, so now I have a confession to make. And it’s a good one. I said the health care credit isn’t changing for the 2013 tax year, but it is changing for 2014. It’s actually GOING UP!! Instead of a max credit of 35% in 2013, in 2014 the max credit will be 50% of eligible expenses. 35% is big. Really big. But 50% is HUGE.