Don’t Exhale Yet, a New Tax on Healthcare Is Coming

As the deadlines approach on Affordable Care Cadillac Tax, MACo Conference attendees hear how counties can prepare.

Delegate Sheree Sample-Hughes with speaker Rick Jones in a session on the Affordable Care Act at the MACo Conference.

In Say “Ahh” – County Compliance with the Affordable Care Act, Rick Jones shared a detailed presentation on the Affordable Care Act’s Cadillac tax. The Cadillac tax is an excise tax on healthcare plans that provide benefits above a certain dollar threshold. The tax will become effective in 2018.

Rick Jones consults county governments across the country on healthcare across as president of Jones Management Consulting. County governments traditionally provide robust healthcare to their employees as thus could be taxed heavily by the Affordable Care Act’s Cadillac tax provision.

At the MACo Winter Conference, Jones shared advice and background on how the Affordable Care Act’s excise tax would apply to county governments. In a witty presentation interspersed with cartoons, Jones was realistic about ways that governments are addressing the upcoming change, including simply praying that the tax is repealed by Congress before it becomes effective.

Jones used the actual tax reporting forms, the 1095 and 1094, that counties will file to provide detailed advice. He shared how to complete the forms in the simplest, most accurate, and most cost effective manner according to existing guidance documents.