Press Release

Senate Approves 1-Year Suspension of Health Insurance Tax

FOR IMMEDIATE RELEASE

Contact: Kelly Klass
(609) 713-4243
kelly.klass@nfib.org

December 18, 2015

WASHINGTON, D.C. – The Stop The HIT Coalition today applauded the U.S. Senate for passage of a 1-year suspension of the Health Insurance Tax (HIT) in the omnibus spending bill. The measure, which now heads to the President’s desk, will provide temporary relief for up to 12 months for small businesses around the country.

“Putting a hold on the HIT sends a strong message to small businesses that this tax was a mistake,” said Amanda Austin, Vice President of Public Policy at the National Federation of Independent Business (NFIB). “Going forward lawmakers should work together to support a permanent solution to this burdensome tax on America’s job creators.”

The HIT, which took effect in 2014 as part of the Patient Protection and Affordable Care Act (PPACA), cost more than $8 billion in 2014 and will collect more than $11 billion from Main Street this year. A national poll conducted earlier this year found that nearly eight in ten small businesses (78%) have been forced to make changes to their business, including layoffs, delays in hiring, fewer health benefits, and delays in other investments as a result of the HIT and other related taxes.

More than 275 bipartisan Members of Congress support legislation that would permanently repeal the HIT. The Stop the HIT Coalition, which includes more than 35 national organizations representing millions of small business owners across the country, will continue to push for a full repeal to permanently relieve small businesses of the tax. For more information, please visit http://www.StopTheHIT.com/.

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