WASHINGTON, D.C. – Today, the U.S. House approved the widely-bipartisan bill cosponsored by U.S. Representative Jaime Herrera Beutler to repeal the “Cadillac tax” that would make the health care coverage of thousands of Southwest Washington families more expensive. The Middle Class Health Benefits Tax Repeal Act of 2019 repeals the 40% excise tax on high quality health insurance plans offered by small businesses, labor unions, and other employers that benefit low- and middle-income workers.
Herrera Beutler and her House colleagues have repeatedly supported delaying the implementation of the tax, which was a component of the Affordable Care Act. This health care tax has threatened over 181 million individuals and families across the United States who receive their health insurance through their employer.
“Protecting vital medical coverage and lowering health care costs for hardworking families in Southwest Washington have been two of my top priorities in Congress. That’s why I’m so proud of today’s vote to repeal the harmful ‘Cadillac tax’ – it’s a victory for every individual and family who rely on employer-provided benefits to meet their health care needs,” Herrera Beutler said.
“Cadillac tax” stats:
- According to a new analysis by the Kaiser Family Foundation, the anticipated tax would affect one in five (21%) employers offering health benefits when it takes effect in 2022 unless employers change their health plans.
- The “Cadillac tax” would particularly impact middle-income families, who are already struggling to afford health coverage. According to census data, over half (54%) of those with private coverage – most of which is employer-provided – have household incomes of less than $100,000 and are poised to be impacted by the impending tax.