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Additionally, only employers with 10 or fewer FTE with annual wages of less than $10,000 can qualify for the full tax credit that covers up to 50% of their share of employee premiums; "the smaller the business, the bigger the credit" [https://www.healthcare.gov/small-businesses/provide-shop-coverage/small-business-tax-credits/].
→Small Employer Health Insurance Tax Credit
===Small Employer Health Insurance Tax Credit===
There is also a temporary health insurance tax credit available to firms with 25 or fewer employees and making less than $50,000 in annual wages, but many firms do not meet the strict requirements necessary for obtaining the tax credit that would cover part up to 50% of the employer contributions for their to employees' health insurance premiums(up to 35% for tax-exempt employers):*Firm must emlploy employ fewer than 25 full-time equivalent (FTE) employees
*Average employee salary is $50,000 per year or less
*Employer covers at least 50% of your full-time employees' premium costs (coverage is not required for part-time employees)*Coverage for full-time employees is must be purchased through the SHOP Marketplace
The health insurance tax credit became available to firms in 2014 [http://obamacarefacts.com/insurance-exchange/shop-exchange/]. The tax credit is incredibly under-inclusive, and according to the National Federation of Independent Businesses, only one in three small businesses qualify [http://www.ncpa.org/pub/st356]. Of the estimated 1.4 to 4 million small businesses that were eligible for the wide range of tax credits, only 181,000 actually claimed the Small Employer Health Insurance Tax Credit in 2014.
