BE PREPARED FOR ELECTION DAY. VISIT OUR GET-OUT-THE-VOTE ACTION CENTER.

AGC Key Vote: the Middle Class Health Benefits Tax Repeal Act

Today, the Associated General Contractors of America (AGC) notified members of the U.S. House of Representatives of its intent to key vote H.R. 748, the Middle Class Health Benefits Tax Repeal Act of 2019. The association supports this bipartisan legislation that would repeal the 40 percent excise tax on employer-sponsored health coverage and employee benefits under the Affordable Care Act (ACA).

The 40 percent excise tax, also known as the “Cadillac tax,” would force contractors to cut or limit employee benefits for millions of employees. Though dubbed the Cadillac tax because the provision was targeting “high cost” employer-sponsored health coverage, it is causing an adverse effect on the affordability and quality of health coverage available to construction employees and their families even before it has taken effect.

While AGC appreciates prior delays of this tax, uncertainty remains in the employer health market as the U.S. Treasury Department begins to develop proposed rules for implementation. As construction employers make health plan decisions well in advance of a coverage year beginning, looming proposed rules have a direct impact on their planning process for the next several coverage years.

AGC supports the affordability and viability of providing employer-sponsored coverage now and in the future. As such, the 40 percent excise tax should be permanently repealed.


Showing 1 reaction

Please check your e-mail for a link to activate your account.