WASHINGTON--(BUSINESS WIRE)--The Stop The HIT Coalition applauded Senators John Barrasso (R-WY), Orin Hatch (R-UT) and Olympia Snowe (R-ME) today, for introducing The Jobs and Premium Protection Act, legislation to repeal the Health Insurance Tax (HIT). The bill brings relief to millions of small businesses nationwide, by preventing the recently passed HIT from collecting billions of dollars from their operations beginning in 2014.
“For our nation to maintain any hope of recovering from these difficult economic times, we must repeal the HIT. Senators Barrasso and Hatch along with a bipartisan group of House members recognize this reality and should be applauded for introducing this much needed legislation.”
“This legislation comes at a crucial time for our nation’s small businesses and we commend Senators Barrasso and Hatch for recognizing that Washington must take action to repeal the HIT,” said Neil Trautwein, Vice President and Employee Benefits Counsel at the National Retail Federation. “As the nation’s number one creator of private sector jobs, small businesses have the potential to reinvigorate our economy if provided with a more certain economic environment. Passage of the The Jobs and Premium Protection Act would be a reassuring sign from Washington to small businesses that it is ok to invest in their futures and create jobs.”
The HIT was passed as part of the Patient Protection and Affordable Care Act (PPACA) last year. Although guised as a tax on insurance companies, it is a clear pass-through tax as it only applies to the fully-insured market where nearly all small businesses and the self-employed purchase their policies. The HIT, projected to cost small businesses, the self-employed, and their employees $87 billion by the end of this decade, will also reduce the take-home pay by $500 a year, or $5,000 in the first decade, for an employee with a family plan.
In the House of Representatives, Representative Charles Boustany (R-LA) has proposed HR 1370 “To Repeal the Annual Fee on Health Insurance Providers Enacted by the Patient Protection and Affordable Care Act.” The bill has 78 bipartisan co-sponsors.
Posted on 11/22/2011 9:00 AM by David M Widmer