News Headlines Article

The HIT Hit: PPACA’s Health Insurance Tax
The Health Care Blog

The 2010 health care law, the Patient Protection and Affordable Care Act (PPACA), hits small business with a barrage of inequities. Among the most egregious is the health insurance tax (HIT) launched by the law’s Section 9010. Ostensibly a tax on insurers, its real effect will be hundreds of billions of dollars of taxation on people who purchase coverage in the fully-insured market – mostly small business employers and employees and the self-employed. These are the people who usually generate around two-thirds of America’s new jobs. In contrast, the HIT bypasses those who have coverage through self-insured plans – mostly big business, labor unions, and governments.

Commands