The latest version of an Obamacare replacement bill puts income restrictions on insurance tax credits and drops a proposed cap on the tax break for employer-sponsored health coverage.
The Republican-backed measure repeals most of the Affordable Care Act’s taxes, but at a later date than originally envisioned. It would keep the law’s “Cadillac tax” on high-cost health plans on the books, but would delay its implementation until 2025.
The tax credits proposed by Republicans would be age-based, not income-based as they are under Obamacare. But in the bill leaked Monday and reported by Politico, they would be reduced for individuals earning more than $75,000 and for households earning more than $150,000. Individuals earning more than $215,000 couldn’t receive any of the tax credits.
The bill would end the healthcare law’s Medicaid expansion and cap its federal payments based on state enrollment figures.
The plan, dated March 6, is one version of several bills Republicans are weighing as their replacement to the Affordable Care Act. House leaders have said they plan to introduce a bill this week and hold committee markups on it.
