SMALL BUSINESS: Clinton Wants Health Coverage Tax Break
President Clinton will include a $44 million tax credit in his FY 2000 budget in an effort to persuade small employers to provide health insurance for their employees, according to a White House spokesperson. Under the five-year proposal, businesses with fewer than 50 employees would receive the tax credit if "they purchased their insurance through nonprofit purchasing coalitions." The tax credits would equal "10% of employer contributions to the health coverage, up to $500 for a family policy and $200 for an individual policy." The spokesperson said that foundations offering financial support to the purchasing coalitions would be eligible for their own tax incentives, since their contributions would be tax-exempt (Reuters Health, 1/12).This is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.