Washington, D.C. – U.S. Representative Mike Bost today announced he will cosponsor legislation (H.R. 748) to repeal a 40% excise tax on certain employer-sponsored health insurance plans, known as the “Cadillac Tax.” The tax would impact employers and families whose health insurance plans cost more than $11,100 for an individual, and $29,750 for family coverage. The “Cadillac Tax” was originally a provision in Obamacare, but implementation has been delayed numerous times by bipartisan coalitions in Congress, most recently to 2022.
“The Cadillac Tax was a money grab to pay for Obamacare that didn’t take into account the financial burden and strain it put on employees and their families,” said Bost. “This oppressive tax hits family budgets while making health care less accessible. Thankfully, the tax is delayed for a few years, but we can provide certainty to employers and working families with a full repeal.”
The legislation has gained support from a host of organizations, including the AFL-CIO:
“Working families have waited too long for repeal of the 40% health benefits tax," said AFL-CIO President Richard Trumka. "It's a shame that health care remains out of reach for millions across the country because they can’t afford to see their doctor. It’s time to end this tax that drives up deductibles and copays that empty workers’ wallets.”