Tax Credits for Schedule C Filers

Credit Name Description Amount of Credit Business Size Carry-Over
Federal Employer Child Care Credit Costs incurred to provide child care to employees Federal: Up to 25% of costsCalifornia: Up to 30% of costs No limit Yes
Federal and California Disability Access Credits Expenses to comply with requirements of ADA Federal: 50% of cost greater than $250 not more than $10,250CA: 50% of cost up to $250 Gross receipts $1 million or less or 30 or fewer employees prior year Yes
Employer Health Insurance Credit Credit for purchasing health insurance for employees Maximum: 50% of premiums paid Maximum: 25 employees Yes
California Employment Credit Credit for qualified employers that hire qualified full-time employees to work in a designated geographic area. The credit is equal to 35% of qualified wages paid for each new qualified, full-time employee hired Depends on the industry Yes, for 5 years
Employer Pension Plan Credit Credit for costs of starting retirement plan 50% of costs; Max: $500 per year 100 or fewer employees Yes
Federal and California Zone Credits Various credits for doing business in certain “disadvantaged” areas,Federal: Work Opportunity, Targeted Jobs Tax CreditCalifornia: Enterprise Zone, LAMBRA, Targeted Tax Area Benefits include hiring credits, bonus depreciation, sales tax credits, and others No limit Various