Think small business owners really are going to get tax credits through ObamaCare health exchanges? Think again.
Reg Baker, chief operating officer of the Hawaii Medical Assurance Association, a health care insurance company not participating on the local Hawaii Health Connector exchange, told Watchdog.org that the tax credits aren’t guaranteed.
Small businesses can only qualify to receive the tax credits for two years, there is extensive paperwork to fill out, and they will only benefit if they made enough of a profit to benefit from the tax credit, said Baker, who is also a certified public accountant.
“A great deal of effort can be spent trying to get the credit and then with the fast phase out starting at just 10 employees and the fact that it is a nonrefundable credit it results in a lot wasted time and effort,” Baker said.
The tax credit is claimed on Form 8941, which has 10 pages of instructions and contains seven worksheets.