The Center on Budget and Policy Priorities has released its summary and analysis of the tax cuts proposed by the House bill to repeal and replace the Affordable Care Act. The summary begins as follows:
House Republicans’ bill to repeal and replace the Affordable Care Act (ACA) would eliminate ACA taxes on wealthy individuals and insurance and drug companies and greatly expand tax-sheltering opportunities for high-income people through health savings accounts (HSAs). These changes (plus several smaller provisions of the plan) would cost $594 billion over 2017 to 2026, the Joint Committee on Taxation (JCT) estimates. At the same time, the plan would seek to offset the cost of these windfall tax breaks by ending the ACA’s Medicaid expansion, radically restructuring the entire Medicaid program by converting it to a per capita cap, and dramatically scaling back the subsidies that low- and moderate-income families use to purchase affordable health care, as well as other coverage changes that would undermine the health and financial security of millions of households.
Posted by Lewis J. Saret, Co-General Editor, Wealth Strategies Journal.