Senate bill aims to repeal Cadillac tax

U.S. Sens. Dean Heller (R-Nev.) and Martin Heinrich (D-N.M.) introduced legislation Thursday seeking to repeal the Affordable Care Act’s excise tax on high-cost group plans. Rep. Joe Courtney (D-Conn.) has introduced similar legislation in the House.

Also see: Number of employers subject to Cadillac tax predicted to rise

Set to take effect in 2018, the so-called “Cadillac tax” would force employers to pay a 40% tax on plans exceeding $27,500 for a family or $10,200 for an individual. The tax was intended for high-end plans, but many of those plans that cover middle-class Americans will trigger the tax, proponents of the repeal say.

“My hope is that reasonable members of Congress on both sides of the aisle will join us in this important, bipartisan endeavor to protect middle-class Americans,” Heller says. 

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Healthcare reform
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