Health Care Reform Updates
New Bill Fully Repeals Cadillac Tax, Medical Devices Tax, and Providers Fee
Bill Also Reinstates PCORI Fees Through 2029
On Dec. 20, 2019, President Trump signed into law a spending bill that repeals the following three taxes and fees under the Affordable Care Act (ACA):
- The Cadillac tax on high-cost group health coverage, beginning in 2020;
- The medical device excise tax, beginning in 2020; and
- The health insurance providers fee, beginning in 2021.
In addition, the bill reinstates Patient-Centered Outcomes Research Institute (PCORI) fees for the 2020-2029 fiscal years (under the ACA, PCORI fees were scheduled to apply to policy or plan years ending on or after Oct. 1, 2012, and before Oct. 1, 2019). As a result, specified health insurance policies and applicable self-insured plans must continue to pay these fees through 2029.
Click here to read the text of the bill.
Content from our HR Library service H360
