News and Blog

Tuesday, 26 April 2011
Free Choice Voucher Provision of the Affordable Care Act Repealed
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On Friday, Apr. 15, 2011, President Obama signed H.R. 1473 – Department of Defense and Full-Year Continuing Appropriations Act, 2011 – into law. H.R. 1473 provides funding to continue federal government operations for fiscal year 2011. One portion of the act repeals the free choice voucher program that was created by the Patient Protection and Affordable Care Act (Affordable Care Act).

The original Affordable Care Act provision required that, beginning in 2014, large employers must offer a voucher equal to the employer’s contribution towards the cost of coverage to certain employees based on theemployee’s household income and expected contribution toward coverage. The employee could then use the voucher to assist with purchasing coverage on the Exchange.

The repeal means simply that the free choice voucher provision will no longer be part of the Affordable Care Act, and large employers will not be required to provide free choice vouchers in 2014.

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Posted on 04/26/2011 4:00 PM by David Widmer
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Tuesday, 19 April 2011
President Signs Repeal of 1099 Reporting Requirement
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On Thursday, Apr. 14, 2011, President Obama signed H.R. 4 – the Comprehensive 1099 Taxpayer Protection and Repayment of Exchange Subsidy Overpayments Act of 2011 – into law. H.R. 4 repeals the 1099 and rental property expense payment information reporting requirement expansion that was part of the Internal Revenue Code as amended by the Patient Protection and Affordable Care Act (Affordable Care Act).

The original Affordable Care Act provision required, among other things, that businesses file a 1099 to any vendor for whom aggregate payments of $600 or more were made for goods and services annually beginning in 2012. This requirement was intended to raise revenue to help pay for other health care provisions and initiatives. In order to allow the repeal of the provision to be revenue neutral, H.R. 4 also includes a provision to accelerate repayment of subsidies made to individuals whose actual income is greater than what was estimated when the subsidies were determined.

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Posted on 04/19/2011 8:30 AM by David Widmer
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