Small Businesses Not Reaping Health Care Reform Benefits
ST. LOUIS, Mo. (KMOX) — Turns out a large number of Missouri small businesses are not taking advantage of President Barack Obama’s health care reforms.
Thomas McAuliffe with the Missouri Foundation for Health blames confusion, lack of knowledge, and plain denial.
“I don’t think businesses fully understand what is in the law, and how it can help them,” McAuliffe said.
There are about 85,000 small businesses in Missouri that are eligible for the Small Business Health Care Tax Credit, and according to McAuliffe only 50 percent of those businesses are actually reaping the benefits.
McAuliffe says small businesses of 25 or fewer employees who offer insurance and pay 50 percent of the cost for that insurance can apply for a tax credit. That credit will reimburse the employer upwards of 35 percent of the cost. Next year and the year after that the credit will reimburse employers nearly 50 percent.
How do businesses apply for the credit?
McAuliffe says it is just like a normal tax credit, which must be applied for when filing your taxes.
He suggests going to a tax preparer to make sure the credit is filed properly, and to get more information about other benefits the health care reforms may offer.
McAuliffe said the number one idea small businesses in Missouri need to understand is the health care reforms passed last year are not going away.
“I think there is a certain sense in which people don’t understand the law and they dismiss the law thinking it will go away,” McAuliffe said. “So they’re not thinking, how can I take advantage of this.”
Listen to Thomas McAuliffe’s full interview below:
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