Congress Fully Repeals Obamacare’s “Cadillac Tax,” Health Insurance Tax (HIT) and Medical Device Tax

December 19, 2019

On Thursday, December 19th, Congress overwhelmingly voted to permanently repeal three Obamacare taxes, including the 40 percent excise tax, commonly called the “Cadillac Tax,” the Health Insurance Tax (HIT) on fully-insured health plans and the 2.3 percent excise tax on medical devices. This is a major victory for the 181 million Americans and their families who rely on employer-sponsored health coverage every day!

Through the multiple health care coalitions NAW helps manage, we have arranged and participated in well over 80 meetings on the Hill — this year alone — with key Committee and Member staff advocating for a full repeal of the Cadillac Tax, the Health Insurance Tax (HIT) and the medical device tax. For years, NAW has urged Congress to act and fully repeal these costly and burdensome Obamacare taxes and safeguard consumers from the exorbitant year-over-year increases to their coverage.

“The permanent repeal of these taxes protects consumers and addresses one of the key drivers of rising health care costs in this country. NAW is committed to ensuring that employer-sponsored coverage is protected, strengthened and remains a viable, affordable option for decades to come,” said Blake Adami, NAW Vice President of Government Relations.