Yesterday, language to eliminate the Cadillac and other ACA taxes was included in must pass spending legislation. The Consolidated Spending Bill is set to be voted on by the House and Senate and signed by the President by Friday. It includes the following ACA-related provisions –

• Eliminates the Cadillac Tax by removing IRC Section 4980I.
• Eliminates the Medical Device Tax of 2.3% by removing IRC Section 4191.
• Eliminates the annual fee on health insurance providers be removing ACA Section 9010.

All provisions are scheduled to be effective January 1, 2020, except that the removal of the health insurance provider annual fee is to be effective January 1, 2021. We will keep you updated as this legislation moves forward.