Beginning in 2018, the so-called “Cadillac Tax”—a 40% excise tax on all health insurance plan costs in excess of certain limits–will take effect. This tax has the potential to turn every contract negotiation into a war zone. This briefing paper will help answer the following questions:
- What is the excise tax?
- Why do they call it a Cadillac Tax?
- What is its impact?
- What are the flawed assumptions underlying the tax?
- What happens next?
- Which way to healthcare justice?