With Growing Democratic Support, Will The Cadillac Tax Be Repealed?
Last week, the effort to possibly overturn the 40% excise tax on what the Affordable Care Act has deemed “excessively rich” health plans got a boost when Hillary Clinton surprisingly supported its repeal.
Even Bernie Sanders is on board with a bill moving through Congress, which would repeal this so called “Cadillac Tax”, which goes into effect in 2018 unless something is done to derail the effort.
As currently structured, the Cadillac tax will impact employers with benefit plans which exceed $10,200 for individuals and $27,500 for families. The 40% tax will apply to the value of the plans above those caps.