The new health reform law gives a tax credit to certain small employers that provide health care coverage to their employees, effective with tax years beginning in 2010. Over the next several weeks, Vision Payroll will be providing further information on the Small Business Health Care Tax Credit. Today’s topic is the Timing of Payments to be Counted in Calculating the Small Business Health Care Tax Credit.

The premiums to be counted are all qualifying premiums paid during the employer’s tax year beginning in 2010. Premiums paid before the passage of the Patient Protection and Affordable Care Act, but during the employer’s tax year beginning in 2010, do qualify for the credit as long as they otherwise qualify for the credit.

The next topic to be covered in this series is Determining the Number of Full-Time Equivalents. Contact Vision Payroll if you have further questions on the Timing of Payments to be Counted in Calculating the Small Business Health Care Tax Credit.