The National Lumber and Building Material Dealers Association (NLBMDA) today called for a full repeal of the Afforable Care Act's health insurance tax (HIT). The HIT was first implemented in 2014 at $8 billion annually. For both 2015 and 2016, the HIT rose to $11.3 billion. Though the HIT has been suspended for 2016 as a result of the Omnibus Spending bill that was passed in December, it will resume in 2018 at $14.3 billion and will continue to increase annually.
Ben Gann, NLBMDA VP of legislative and political affairs and the press release's author, writes that "health care remains a major expense for employers," costing them thousands per year. Gann argues that the HIT should be repealed because of who bears the greatest burden for paying the tax. "Most of the tax is paid by those who can least afford it," Gann writes in the release. "Approximately half of the premium increase from the HIT is paid by those with incomes between $10,000 and $50,000."
Congress has introduced the Jobs and Premium Protection Act to repeal the HIT. It was introduced by Reps. Charles Boustany (R-La.) and Kyrsten Sinema (D-Ariz.) to the House and has 235 co-sponsors so far. Sens. John Barrasso (R-Wyo.) and Orrin Hatch (R-Utah) introduced the bill to the Senate; the bill now has 39 co-sponsors.
The NLBMDA is encouraging dealers to voice their thoughts about this issue to their lawmakers. You can voice your opinion here.