Small Business Health Care Tax Credit

What are Small Business Health Care Tax Credits?

Small Business Health Care Tax Credits provide a tax credit of up to 50% of small-business health insurance premium costs, for up to two years. Employers are eligible if they have fewer than 25 full-time workers and average annual wages less than $66,600 in 2025¹ (this is indexed for inflation each year²).

However, the credit is only available in areas where there are still SHOP-certified small group health plans available, and that does not include most of the country. Read more about the credit.