IRS issues new health care tax credit information

The Internal Revenue Service in September came closer to providing smaller nonprofits and businesses the mechanism for claiming the health care tax credit enacted as part of the health care reform legislation earlier this year.

On Sept. 7, the IRS released a draft Form 8941 which will be used by small tax-exempt organizations and for-profit businesses to calculate their tax savings for providing health insurance coverage for their employees. The IRS also announced that nonprofits will claim the tax credit on a revised Form 990-T, which will be revised for the 2011 filing season.

For more information on the credit, visit the National Council of Nonprofits website.