The Cadillac Tax - Not Repealed but Delayed Again
On January 22nd, Congress passed and President Trump signed a stopgap funding bill to reopen the government. Along with reopening the government, this bill also delayed the ACA’s Cadillac Tax for another 2 years so that it is not set to be effective until 2022. The 40% excise tax on high-value health plans was originally set to take effect in 2018. But in 2015, Congress changed the effective date from 2018 to 2020. So while this latest bill does not eliminate the highly controversial Cadillac Tax, it does delay implementation of the tax to give Congress more time to decide whether to repeal the tax.