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Healthcare Related Taxes

By December 19, 2016No Comments

TRUMP'S 100 DAY PLAN

HEALTHCARE RELATED TAXES

Trump proposed throughout the campaign to “repeal and replace Obamacare,” the Affordable Care Act (ACA), entirely, including all associated taxes. Trump’s campaign materials, however, only mention repealing the ACA’s 3.8 percent NII tax. 

COMMENT

During the campaign, Trump indicated that he would call a special session of Congress to repeal the ACA. 

Cadillac Tax

Under current law, the so -called “Cadillac tax” on high dollar health insurance plans is scheduled to go into effect in 2020. Trump has not mentioned this tax specifically but repeal of the ACA would presumably include repeal of the “Cadillac tax.”

Medical Device Tax

As part of ACA repeal, Trump’s plan would apparently envision repeal of the medical device tax.

COMMENT

Repeal of the ACA would also bring about repeal of the individual shared responsibility requirement, the employer shared responsibility requirement, the Code Sec. 36B premium assistance tax credit, the Health Care Marketplace, the SHOP Marketplace, and more.

This article originally appeared in BDO USA, LLP’s “Post-Election Tax Policy Update” (November 2016). Copyright © 2016 BDO USA, LLP. All rights reserved. www.bdo.com