House Republicans to Propose Capping Tax-Preferred Health Benefits

June 17, 2016

Next week, the House GOP will be releasing its long-awaited Affordable Care Act replacement plan, which is expected to include new limitations on tax preferences for employer-provided health care.  Other elements of the plan will likely include high risk pools, Health Savings Accounts, a tax break for individuals who wish to purchase insurance, and a mechanism for small businesses to join together in collectives in order to purchase health insurance.  This proposal is not designed for passage in this legislative year, but is instead intended to give Republicans a rallying cry for the year ahead and a starting point for health reform efforts in the new Congress next year.  HR Policy Association is opposed to imposing a cap on tax exclusions for employer-provided health care, as it will make it more difficult for employers to offer comprehensive and affordable coverage to their employees.  HR Policy will offer a more complete summary once the plan is released and the details of the proposals emerge.