December 23, 2015
New Law Delays “Cadillac Tax”
The Consolidated Appropriations Act of 2016 was passed by congress and signed by President Obama on December 18th, 2015. Among the many provisions are 2 related to the Affordable Care Act (ACA): The excise tax on health plans that cost more than $10,200/year for single coverage or $27,500/year for family (dubbed the “Cadillac Tax”) was slated to begin in 2018 but will be delayed two years. The 2.3 % excise tax imposed upon manufacturers and importers of medical devices (in effect since January 1, 2013) has been placed on hold for devices sold in 2016 and 2017. Full text of the bill can be found here.