The IRS released a draft Form 8941 for small business and tax-exempt organizations to use while calculating the small business health care tax credit for income tax returns next year. The tax credit was included in the Affordable Care Act and effective this year.

The form can be used by both small businesses and tax-exempt organizations to calculate credit, and small businesses will include the amount of the credit as part of the general business credit on its income tax return. Tax-exempt organizations will instead claim the credit on a revised Form 990-T, which is currently being used by tax-exempt organizations to report and pay the tax on unrelated business income. The Form 990-T will be revised for the 2011 filing season.

The IRS announced the final version of the Form 8941 and instructions will be available later this year.

Click here to read the draft Form 8941.

For more information on the credit, click here.