Tax Policy

Implementation Briefs

Update: Health Insurance Premium Tax Credits

Categories: Health Insurance, Implementation Update, Tax Policy

Posted on September 2, 2011

This Update is the third in a series on a group of three regulations, all of which are summarized at HealthReformGPS.org. Together the rules are designed to implement both the Medicaid eligibility expansions, the process of determining eligibility for premium tax credits and cost sharing assistance in the Exchange individual market, and standards for employers purchasing coverage in Exchanges. Collectively, the rules are designed to allow individuals and families to acquire and keep coverage and move more seamlessly among publicly-supported sources of health insurance as family income and circumstances change.

IRS Notice and Request for Comments Regarding the Community Health Needs Assessment Requirements for Tax-Exempt Hospitals

Categories: Department of the Treasury, Implementation Update, Internal Revenue Service, Key Developments, Public Health, Rulemaking, Rules, and Guidance, Tax Policy

Posted on August 23, 2011

On July 7, 2011, the Treasury Department and the Internal Revenue Service (IRS) published a Notice and Request for Comments on a proposed policy regarding the Affordable Care Act’s new requirements related to tax exempt hospitals’ community health needs assessment (CHNA) obligations. Section 9007 of the Act added new Section 501(r) to the Internal Revenue Code, which delineates a series of statutory requirements, outlined in a previous implementation brief, applicable to nonprofit hospitals that seek tax-exempt status under Section 501(c)(3). The purpose of the Treasury/IRS Notice is to both describe the agencies’ approach to implementing hospital organizations’ CHNA obligations and to invite comments regarding their proposals. The CHNA requirements are effective for taxable years beginning after March 23, 2012. However, the Notice specifies that hospitals currently engaged in conducting CHNA-related activities -- including development and wide publication of a needs assessment and adoption of an implementation strategy -- can rely on the policies contained in the Notice as they move forward.

Update: Repeal of 1099 Reporting Requirement

Categories: Implementation Update, Tax Policy

Posted on July 28, 2011

Section 9006 of the Affordable Care Act (ACA) would have required businesses to issue 1099 forms for transactions over $600 with other corporations, such as vendors and suppliers. This was a significant expansion of the reporting requirements and was seen by many as a huge burden on businesses, particularly small businesses. On April 14, 2011, the Comprehensive 1099 Taxpayer Protection and Repayment of Exchange Subsidy Overpayments Act of 2011 was signed into law, repealing the ACA Section 9006 reporting requirements.

Health Insurance Exchanges Update: Qualified Health Plans, Reinsurance, Risk Corridors and Risk Adjustment

Categories: Health Insurance, Implementation Update, Medicare, Tax Policy

Posted on July 19, 2011

A major problem in the U.S. health care system is the lack of affordable health insurance options for individuals and small businesses. These groups also have no easy way to compare plans in terms of premium cost, benefits and cost sharing, provider networks, or quality of care provided. The Affordable Care Act (ACA) seeks to address these problems by making private health insurance available to qualified small businesses and individuals through health insurance Exchanges beginning January 1, 2014.

New Requirements for Tax-Exempt Charitable Hospitals

Categories: Public Health, Tax Policy

Posted on December 20, 2010

This implementation brief examines the addition of Section 501(r) to the Internal Revenue Code under the Affordable Care Act (ACA), which sets out new requirements for not-for-profit, tax-exempt hospitals.

Tax Subsidies for Individuals and Families Who Purchase Coverage Through State Health Insurance Exchanges

Categories: Health Insurance, Tax Policy

Posted on December 9, 2010

This Implementation Brief Includes Tax Subsidy Amendments Passed by the Senate as of December 9, 2010.

The Affordable Care Act (ACA) establishes a refundable tax credit for individuals without affordable employer coverage and ineligible for Medicaid:

Tax Credits for Small Employers

Categories: Tax Policy

Posted on May 26, 2010

The Act provides a small-employer tax credit available in two phases: the 2010-2013 time period, and the time period that begins with the establishment of state health insurance exchanges in 2014 and beyond.