Issue Brief

Tax on Health Insurance is a Tax That Could Harm Low & Middle Income Seniors

Tax on Health Insurance set to hit seniors in 2018.

The Tax on Health Insurance was suspended for 2017 by Congress because it was raising costs for seniors, people with disabilities, consumers and small employers.

Unless Congress delays the Tax on Health Insurance for 2018, the Tax will return on January 1, 2018.

If Congress allows the Tax on Health Insurance to return, 19 million beneficiaries enrolled in Medicare Advantage - many living on low, fixed incomes - would face higher premiums, reduced benefits and higher out-of-pocket costs.