Cadillac Tax Repeal is Welcomed Gift to Employees

WOTC extension also worth celebrating

The Retail Industry Leaders Association (RILA) issued the following statement from Austen Jensen, RILA senior vice president of government affairs, in response to end-of-year legislative package passed by the House today and expected to be passed by the Senate later this week:

“Full repeal of the Cadillac Tax on employer-sponsored health coverage is a hard fought and celebrated holiday gift for the millions of Americans that receive their health insurance through their retail employer. The 40% tax on health benefits would have forced employers to pay extensively higher taxes or reduce benefits for their employees. This ill-conceived tax has been looming over employers since the Affordable Care Act passed in 2010. Its full repeal is a significant victory for employees and employers alike. 

“Repealing the Cadillac tax will allow retailers to successful plan their health benefit offerings and support their employees through employer provided health insurance – a benefit that protects nearly 181 million Americans across the country. Leading retailers appreciate the bipartisan support that enabled Congress to finally eliminate this tax once and for all.

“Leading retailers are also pleased Congress extended the Work Opportunity Tax Credit through 2020. This credit encourages and enables employers to provide work opportunities to those who consistently face barriers to employment. The credit is highly utilized by leading retailers, and its extension is appreciated.”

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RILA is the US trade association for leading retailers. We convene decision-makers, advocate for the industry, and promote operational excellence and innovation. Our aim is to elevate a dynamic industry by transforming the environment in which retailers operate.

RILA members include more than 200 retailers, product manufacturers, and service suppliers, which together account for more than $1.5 trillion in annual sales, millions of American jobs, and
Tags
  • Public Policy
  • Tax
  • Finance

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