tamatoledonews.com - The Small Business Jobs Act, signed by President Obama on September 27, 2010, includes a particularly noteworthy provision, a one-year deduction of health care costs for sole-proprietors on their 2010 tax returns. While it's only temporary relief from skyrocketing health insurance premiums that farmers and mainstreet businesses have been saddled with the last decade, it's a first step and a foot in the door.
Health care reform passed in March with a small business tax credit of up to 35% of employees' health care costs for businesses with fewer than 25 employees. In Iowa, nearly 91% of small businesses - over 51,000 total - would likely qualify for this tax credit on their 2010 taxes. More than 14,000 of them would qualify for the full 35% credit.
Check out the Small Business Tax Credit Calculator on our website at www.cfra.org/policy/health-care to find out whether your business qualifies, and if you're a farmer or rural small business owner you can find out more about the sole-proprietor tax credit there too.
We're also excited about the Rural Microbusiness Investment Credit Act, introduced this summer by Rep. Ron Kind (D-WI) and Rep. Wally Herger (R-CA). It would provide a 35% refundable tax cut, up to $10,000, to start or expand rural small businesses with five or fewer employees.
Farmers and rural small business owners should take advantage of the health care tax credits, and remind our Senators and Representative that rural America wants and needs the microbusiness investment credit too.
The Center for Rural Affairs was established in 1973 by rural Nebraskans concerned about family farms and rural communities, and we work to strengthen small businesses, family farms and ranches, and rural communities.