health insurance tax credit for small businesses,

Discussion in 'Healthcare/Insurance/Govt Healthcare' started by usmcstinger, Jun 2, 2012.

  1. usmcstinger
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    usmcstinger Silver Member

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    Obamacare: Another Devil in the details.

    To begin with, the GAO said, the tax credit is structured so its biggest benefits go to very small companies paying low wages. About 4 out of 5 such businesses don't offer coverage, and the tax credit is not sufficient to encourage them to start doing so.

    Obama's health care aid to small firms disappoints | Comcast
    The above link tells the whole story.

    Complexity has been another obstacle. IRS Form 8941, which employers must complete to claim the credit, has 25 lines and seven worksheets, the GAO said. Some tax preparers told the agency it took clients from two to eight hours to pull together supporting information and tax professionals another three to five hours to calculate the credit.

    I have come to the conclusion that you can not trust what Obama says Obamacare will do. One must judge it by what it really does.
     
    Last edited: Jun 2, 2012
  2. chanel
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    chanel Silver Member

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    The average credit was $2700? How much did it cost? $27,000?

    Employers who pay decent wages are ineligible. Punish success and reward failure. At least they are consistent.
     
  3. auditor0007
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    auditor0007 Gold Member

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    So before when there was no credit, that was a good thing, but now that there is a credit, that is a bad thing. Now I understand.
     
  4. chanel
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    chanel Silver Member

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    It's not a matter of "good or bad". It's a matter of practicality. If these workers are so low paid, likely they qualify for Medicaid or the other damn credit for individuals. For a business owner to get $2700, while the employee can get twice as much, well... Do the math.

    Many "small businesses" are nothing more than hobbies for people with other jobs who may already get health insurance. The credit is not aimed at the real "job creators".
     
  5. usmcstinger
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    usmcstinger Silver Member

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    Where did you get the information regarding small businesses?
     
  6. chanel
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    chanel Silver Member

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    52% of small business are "home based".
    There are 21 million "businesses" with NO employees.

    Frequently Asked Questions

    Three of my closest friends have "businesses" in addition to their full time jobs - kids' parties, catering, and gift baskets. They make very little money, but do it for fun. They are registered with the state and file income taxes. There are millions of these types of businesses. They do not need health insurance nor any other kind of "help" from the government. All they'd like is to keep a little profit.

    I found this interesting too.

    This is BEFORE Obamacare.
     
    Last edited: Jun 3, 2012

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