The President’s 2017 federal budget proposal released February 9 includes a second round of revisions to the unpopular “Cadillac” tax on expensive private health insurance. The $4.1 trillion spending plan would raise the tax threshold to the level of the Affordable Care Act’s gold premium, where any state’s individual health insurance marketplace exceeds the Cadillac tax threshold.
The President approved a two-year delay on the 40% tax when he signed the 2016 spending bill on December 18. The tax is currently set to take effect in 2020; and is projected to raise $87 billion a year for ACA expenses.
Business groups and labor unions continue to call for the tax’s total repeal. The 2017 fiscal plan is expected to face stiff partisan opposition in Congress.
As promised, the US House of Representatives held a vote yesterday, attempting to override President Obama’s veto on a bill which would have repealed the Affordable Care Act. The 241-186 vote in the House was a largely symbolic vote that was not expected to reach the two-thirds majority needed to override the veto.
The Associated Press reported that House Speaker Paul Ryan is planning a Republican proposal this year to replace the health care reform law passed six years ago.
The U. S. House of Representatives voted yesterday 240 to 181 to repeal the Affordable Care Act, sending the bill to President Obama. The bill, which passed the Senate 52 to 47 last month, faces a certain veto from the president (The Washington Post).