Small Business Tax Credit


Small businesses with 25 or fewer employees who currently offer health coverage may already qualify for a federal tax credit. These small businesses must pay at least 50 percent of the health care premiums, and the average annual wages of all employees must be less than $50,000.

The tax credit is worth up to 50 percent (up to 35 percent for tax-exempt employers).

Calculator property of Small Business Majority and its subsidiary website California Health Coverage Guide

To see if your business might be eligible for a federal tax credit, use the Small Business Majority’s Tax Credit Calculator below. Note: Owners should not be included in the number of employees entered in the tool.

Note: This does not constitute tax advice. Contact your tax professional for information regarding your refund or tax liability.

To learn more or claim the small business tax credit, visit