UPDATE: In December 2015, President Obama signed a law that delayed the Cadillac Tax until at least 2020. Click here for more details. This blog post was written before the delay was signed, but still contains useful information on the tax and its potential effects on business.
Think about the word “Cadillac.”
What sort of adjectives come to mind?
Probably ones like “luxury,” “high-end,” and “expensive.”
So a tax on health care plans named after a fancy car would probably apply to… fancy health care plans. Right?
Well, that’s how the ACA High-Cost Plan Tax – or Cadillac Tax, as it’s come to be known – was envisioned. It was supposed to be a tax on only the fanciest of health plans.
But left unchanged, the Cadillac Tax will affect a lot more businesses than originally thought.
Read more …