The following bill passed 14-12 the House Finance Committee on June 3rd, 2026.
The Bill: HB2550 Rep Mazzocco
Title: Small Business Healthcare Premiums Contribution Tax Credit
What Does it Mean: small businesses, 50 or fewer, receive a tax credit $1,000 per employee per year toward employees’ eligible health insurance costs, specifically PENNIE.
The Go Big Small Biz Network’s Position: Neutral, here is why:
- Voluntary tax credit. It gives qualifying small businesses (≤50 employees) a dollar-for-dollar credit up to $1,000 per employee per year for contributions toward employee health coverage bought on Pennsylvania’s Pennie exchange. No mandates, no forced spending — businesses choose whether to participate.
- Small business relief — Helps offset rising health care costs after enhanced ACA subsidies expired, making it easier for small employers to attract/retain workers without full group plans.
- Tied to Pennie/ACA exchange — Limits options to state exchange plans rather than fully private or market-driven alternatives, which free-market advocates often criticize.
- Administrative burden — Qualifying, equal contributions, record-keeping, and tying to specific HRA vehicles add some paperwork.
The Go Big Small Biz Network exists to prevent government overreach into small businesses. We are funded by our monthly subscribers of $19/monthly. Please Join the movement.
Any Questions? Email me, tracey@gobigsmallbiz.com
Thanks,
Tracey and Jeff Wakeen
