New tax credit for providing health coverage

[kcjenkins]

The Internal Revenue Service has updated its Web site to provide information to small employers regarding the new tax credit for providing health coverage.

The new Web pages include a graphic to help employers quickly determine if they qualify for the credit; scenarios that explain how much certain businesses and exempt organizations would benefit from the credit; tax tips on taking the credit, and a set of questions and answers.

The IRS is encouraging small employers to carefully consider the tax credit.

[samingeorgia]

Lots of questions about this -- what if you are a professional services C corp. and try to show zero net income each year using bonuses in order to avoid the 34% rate? Similarly, does this credit flow through in a partnership or S corp.? What about the restrictions on health insurance for S corp. shareholders?

No wonder they need another 16,000 IRS agents to handle this "healthcare reform".