Shining Star Agency LLC

Looking for ways to save money on your
small business healthcare and medical expenses?

Loosen the Healthcare Noose with ...

Frequently Asked Questions

What does TASC BizPlan offer? AgriPlan (for farmers) and BizPlan (for small business owners) are Internal Revenue Code Section 105 Medical Reimbursement Plans available to business owners across the nation. Sole proprietors, corporations, limited liability companies, and partnerships utilize the administrative services of AgriPlan/BizPlan to save substantial tax dollars annually. AgriPlan/BizPlan services allow businesses to deduct 100 percent of their family health insurance premiums and out-of-pocket medical, vision, and dental expenses not covered by insurance.

Who qualifies for TASC BizPlan? To qualify, a Sole Proprietorship or Partnership business owner must be able to legitimately employ his or her spouse. For S-Corporations, family employment is not necessary. Those who qualify include sole proprietors, partnerships, limited liability companies and corporations (including sub-chapter S Corporations). Since LLC's can be taxed in different ways, your filing status will determine whether the rules apply to you as a sole proprietorship (Schedule C) or a corporation (1120S).

How does TASC BizPlan work? In a sole proprietorship or partnership, the spouse becomes an employee in the business. The business owner provides the employed-spouse a compensation package that includes a reasonable wage for necessary business duties and a benefit package that includes reimbursement of health care expenses. These expenses are now a business expenses and are 100 percent deductible. In a corporation, the owner votes to provide themself with a compensation package that includes a reasonable W-2 wage for necessary business duties and a benefit package that includes reimbursement of health care expenses. Note: In an S Corporation the Medical Reimbursement Arrangement allows the deduction for Social Security and Medicare taxation purposes (a 15% savings) but not federal taxes.

How much will I save? The average TASC BizPlan participants save more than $2,450 annually in taxes. Last year, BizPlan participants collectively deducted nearly three hundred million dollars from their taxes.

How much does it cost? TASC BizPlan cost $195 per year. Additional employees can be added to the plan for $50 per year.

How much time does it take to set up and maintain the plan? Setting up an BizPlan is very easy. You simply fill out the application (ABOVE), enroll in the plan, establish an appropriate compensation package and reimburse the medical expenses. Annual duties include submitting benefit expenses to AgriPlan/BizPlan for review, renewing your plan and re-electing your benefits. TASC /BizPlan provides all the required documents and forms and toll-free support.

Why do I need TASC BizPlan? TASC BizPlan, developed in 1986, simplifies the accounting procedures and provides the administration and documentation required to maintain a proper Section 105 Medical Reimbursement Plan. That includes a Plan Document, an Adoption Agreement, a Required Summary Plan Description, an annual Documentation of Benefits Paid and a Third Party Adjudication of Claims. TASC BizPlan also offers an Audit Guarantee to all Participants. By using a qualified third party administrator, you protect yourself from critical mistakes and IRS challenge.

What if my accountant recommends against it? Unfortunately, that happens far too often! Most CPA's and accountants are not even familiar with this section of the tax code (although that is changing), so they do not really understand the process and often do not have the time to become properly educated. However, once they do so, they often change their mind. If your accountant remains resistant, it may be worthwhile to seek another opinion or provider. We will be happy to speak with them on your behalf. Do you really want to throw away thousands of dollars because your financial advisor is not fully prepared?