Taxes Continue to Plague Employee Benefits
WASHINGTON, DC (February 19, 2019): Today, the Partnership for Employer-Sponsored Coverage issued its endorsement of two bipartisan tax measures to address revenue provisions of the Affordable Care Act (ACA) which are problematic to the over 181 million Americans enrolled in employment-based health coverage. Read the coalition letters here and here.
The Partnership for Employer-Sponsored Coverage (P4ESC) threw its support behind the bipartisan Middle Class Health Benefits Tax Repeal Act (H.R. 748), introduced in the U.S. House of Representatives to repeal the 40 percent excise tax on employer-sponsored coverage, known as the Cadillac tax, and the Senate-introduced Jobs and Premium Protection Act (S. 80), to repeal the health insurance tax. H.R. 748 was introduced by Representatives Joe Courtney (D-CT) and Mike Kelly (R-PA), and S. 80 was introduced by Senators John Barrasso (R-WY), Cory Gardner (R-CO) and Kyrsten Sinema (D-AZ).
“Both the Cadillac tax and the health insurance tax have direct cost impacts on premiums and co-sharing that hardworking Americans pay for employment-based health plans,” said Christine Pollack, Executive Director of the Partnership for Employer-Sponsored Coverage. “P4ESC commends Congressmen Courtney and Kelly, and Senators Barrasso, Gardner and Sinema for the efforts to address health costs of employees’ benefits.”
The Partnership for Employer-Sponsored Coverage is an advocacy alliance committed to ensuring that employment-based coverage is strengthened and remains a viable, affordable option for decades to come. P4ESC membership includes:
Aaron Frazier, Director of Healthcare Policy, National Restaurant Association:
“Quality, affordable healthcare is critically important to the restaurant and hospitality industry, our employees, and the communities we serve. We appreciate the bipartisan leadership on these issues and look forward to advancing this legislation.”
Jennifer Safavian, Executive Vice President, Retail Industry Leaders Association:
“As America’s largest employers, retailers are committed to strengthening employer-sponsored coverage and increasing benefits for our workforce. A bipartisan solution to repeal the 40 percent excise tax on employer-sponsored health coverage is the right step forward in providing certainty for employers and the millions of employees insured under an employer plan.”
Stephen E. Sandherr, Chief Executive Officer, Associated General Contractors of America
“It is time to repeal the excise tax on health care plans that punishes tens of thousands of hard-working construction workers.”
Neil Trautwein, Vice President for Health Care Policy, National Retail Federation
“Though the past delays in the ‘Cadillac Tax’ have been welcome, they are not sufficient. The tax is forcing the reduction of mainstream health benefits on an ongoing basis. The ACA’s Health Insurance Tax is disproportionately paid by small business, which can least afford it. NRF strongly supports the permanent repeal of both the ‘Cadillac Tax’ and the HIT.”
Blake Adami, Vice President, National Association of Wholesaler-Distributors
”Advocating for employer-sponsored coverage and protecting health care access for businesses of all sizes remains a top priority for NAW. We thank the sponsors of both H.R. 748 and S. 80 and urge all Members to protect our businesses by fully repealing the Health Insurance Tax and the Cadillac Tax once and for all.”
Emily M. Dickens, Corporate Secretary & Chief of Staff, Society for Human Resource Management
“Employer-based health care plans are driving innovative solutions that improve the health of employees and their families and are providing more affordable, higher quality health care for all. At SHRM, we advocate for policies that create better workplaces and a better world, including strengthening employer-sponsored health insurance.”
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