On September 7, 2010, the Internal Revenue Service released a draft version of the Form 8941 that both small businesses and tax-exempt organizations will use to calculate the small business health care tax credit during the 2011 tax season. Tax-exempt organizations generally do not file income tax returns, but can use the Form 8941 to claim the credit. The credit is designed to encourage small employers (with 10 or less full-time employees) to offer health insurance coverage or maintain the coverage they currently offer their employees. A FAQ explaining the small business tax credit is available here.
