Running a business is hard work, even without tax season rolling around every year. And, on top of your daily management tasks, finding and determining whether you qualify for certain business tax credits can be a strain on your productivity. Here at NTRC Tax & Finance, we know how hard you work to keep your business running smoothly, so our tax experts work hard to take care of your tax return – so that you have more time to do the important things like running your business and spending time with your family.
Let’s take a look at five business tax credits that you might see us claim for you on your tax return this year.
Five Business Tax Credits to Use on Your Tax Return:
Keeping in mind that tax credits, deductions, and exemptions are three different things, let’s talk about a few tax credits that you might be able to claim for your business this year.
#1: Health Insurance Premium Credits
This credit is only for small businesses with fewer than 25 full-timers. In order to qualify for this credit, you must also pay at least half of your employees’ premiums and have purchased them through the “Small Business Health Options Marketplace.” This credit can only be claimed for two years in a row but can help you recover up to 50% of those costs. Form 8941 is used for this credit.
#2: Tax Credit for Retirement Plan Startup Costs
If you also started retirement plans for your workers, you can get reimbursed for up to $500 or 50% of your startup costs for setting up retirement plans. You can only qualify for this tax credit if you have less than 101 employees, and you can only claim this credit for three years. You can use Form 8881 to claim this tax credit on your tax return.
#3: Electric Vehicle Business Tax Credits
#4: A Few “Individual” Tax Credits You Can Claim as a Business Owner
Some people also forget that they are individuals in addition to businesses and that they qualify for certain credits because of this. A few examples might be “The Premium Tax Credit” and the “Child & Dependent Care Credit.” Working with a certified tax expert, like the ones at NTRC Tax & Finance, can help you take advantage of all the credits available to you.
#5: R&D Tax Credit
This tax credit is a little bit more convoluted and mainly for technology businesses that use research and development to innovate new products and services, but if you qualify (see this IRS post here) your business can claim a decent credit.
Learn More About Business Tax Credits: Business Tax Credits | Internal Revenue Service
NTRC Tax & Finance: Your Source for Business Tax Credits & an Easy Tax Return
Here at NTRC Tax, we work hard on your taxes so that you don’t have to. Our tax experts will find every credit available to you to lessen your tax burden or get you a bigger return. To get started on this year’s small business taxes and see how many credits you qualify for, get in touch with our team today!