Tax And Employee Benefit Consequences of Healthcare Reform


Popular media coverage of “healthcare reform” has focused largely on how individual consumers might be affected. Less attention has been given to what the legislation means for businesses — and not just businesses in healthcare-related industries. The 2010 Healthcare Reform Act (Patient Protection and Affordable Care Act1 or PPACA), in conjunction with the Health Care and Education Reconciliation Act2 (“Reconciliation Act”) contains significant tax and employee benefit changes. Many of these provisions are phased in over several years, so their full impact is yet to be felt. This article examines a few of the key provisions contained in this new legislation.

I. Tax Changes

The tax changes found in the new legislation focus on the universal health insurance coverage mandate and revenue raisers, some health-related and others not. Certain changes are expected to have the greatest impact.

A. Beginning in 2011

Beginning in 2011, a fee will be levied against drug manufacturers and importers based on market share. The total fee assessed for 2011 will be $2.5 billion and will gradually increase until it peaks in 2018 at $4.1 billion. In 2019, the fee will decrease to $2.8 billion and will remain constant thereafter.3

Please see full publication below for more information.

LOADING PDF: If there are any problems, click here to download the file.

Written by:


Butler Snow LLP on:

Readers' Choice 2017
Reporters on Deadline

"My best business intelligence, in one easy email…"

Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra:

Sign up to create your digest using LinkedIn*

*By using the service, you signify your acceptance of JD Supra's Privacy Policy.

Already signed up? Log in here

*With LinkedIn, you don't need to create a separate login to manage your free JD Supra account, and we can make suggestions based on your needs and interests. We will not post anything on LinkedIn in your name. Or, sign up using your email address.