Is Tax on Employer-Provided Health Insurance on the Way?

Is Tax on Employer-Provided Health Insurance on the Way?

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Bloomberg.com reports that Congress is considering a tax on employer-provided health insurance in order to pay for the overhaul of the health-care system:

In a document laying out health-care alternatives, Chairman Max Baucus, a Montana Democrat, and Senator Charles Grassley of Iowa, the panel’s top Republican, said taxing health benefits would address so-called “Cadillac plans” that promote overuse of health-care services and boost the cost of care. The two senators also proposed scouring Medicare and other aspects of the U.S. health-care system for cost savings.

“Health-care reform must preserve the things Americans like about our health-care system,” Baucus said in a statement today. “But it must also begin to slow the rapid increases in health-care costs that take up more and more of the budget for American families and businesses.”

About Peter Pappas

Peter is a tax attorney and certified public acccountant with over 20 years experience helping taxpayers resolve their IRS and state tax problems.

He has represented thousands of taxpayers who have been experiencing difficulty dealing with the Internal Revenue Service or State tax officials.

He is a member of the American Association of Attorney-Certified Public Accountants, the Florida Bar Association and The Florida Institute of Certified Public Accountants and is admitted to practice before the United States Tax Court, the United States Supreme Court, U.S. District Courts - Middle District of Florida