Senate Plan Would Give Corporations, High Income Earners A $1 Trillion Tax Cut
The draft released by Senate leaders would delay the Cadillac tax on expensive health insurance and repeal the health law's taxes on investment income, high-income Medicare beneficiaries, employers who don't offer insurance, people who don't get insurance, medical devices and tanning services.
The Associated Press:
Senate GOP Health Bill: Tax Cuts For Rich
Senate Republicans' new health bill cuts taxes by nearly $1 trillion over the next decade, mostly for corporations and the richest families in America. It uses a budget gimmick to comply with Senate rules against adding to the federal government's long-term debt. (Ohlemacher, 6/23)
Bloomberg:
Obamacare Taxes Torched In Senate Bill, Drawing Democratic Ire
The long-awaited Obamacare replacement plan from Senate Republicans wouldn’t do much to preserve coverage for millions of poor and working-class people, but it would deliver tax cuts to the wealthiest Americans. To appeal to their moderate members, GOP leaders initially faced pressure to maintain some of the Obamacare taxes that funded expanded Medicaid coverage. Instead, the Senate version mirrors the House bill in seeking to repeal almost all of the Obamacare taxes, which largely affect the highest earners. (Kapur, 6/23)
The Wall Street Journal:
How The Senate Health Bill Differs From House Bill, Obamacare
The bill also knocks down many of the ACA’s taxes, including a 3.8% tax on investment income. The Cadillac tax would be retained but wouldn’t go into effect until 2026. It would end a tax on indoor tanning, repeal limits on contributions to flexible-spending accounts and stop taxes on health-insurance premiums.The tax on medical devices would also be repealed. (Armour, 6/22)
The Hill:
Senate Bill Would Repeal Most ObamaCare Taxes, Delay Cadillac Tax
The Senate draft healthcare bill unveiled Thursday takes a similar approach to ObamaCare's taxes as the House bill — repealing most of them with the exception of the Cadillac tax. The Cadillac tax, which applies to high-cost health insurance plans, would be delayed until 2026 in both the Senate and House bills. The tax is unpopular with both Republicans and Democrats and has never taken effect. However, the tax has been estimated to raise a significant amount of revenue that could help pay for other provisions in the bills. (Jagoda, 6/22)
