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Courtney Statement Following Reports that the White House May Propose Changes to the 'Cadillac Tax'

February 4, 2016
Press Release

WASHINGTON—Today, Congressman Joe Courtney (CT-02), made the following statement after the White House announced that it would be detailing changes to the so-called ‘Cadillac Tax’ in the upcoming FY2017 budget to be released next week:

“When Congress took action to delay the so-called ‘Cadillac Tax’ late last year, it was in recognition of the fact that a 40% excise tax on health plans was going to be an unfair burden on businesses and workers if it was ever implemented,” said Courtney. “While I have always been a strong supporter of the Affordable Care Act, I continue to believe that the Cadillac Tax was ill-conceived when it was first added to the law – and the case against it has only grown stronger with time."


“Prior to passage of the delay, an extraordinary collation of groups including the American Cancer Society, the U.S. Chamber of Commerce, the AFL-CIO, the American Benefits Council, and organized labor did an effective job educating Congress on the exploding cost shift to patients that the excise tax would cause. While I appreciate the willingness of the administration to finally come forward with changes to this policy, this proposal falls short of addressing the range of concerns raised with the blunt application of the tax. I believe that any tax on middle-class healthcare plans will simply create new barriers to affordable healthcare that will undermine central goals, and ultimate success, of the ACA. I will continue to work with my colleagues in Congress to pass a full repeal of the excise tax.”


Courtney is the lead sponsor of H.R. 2050, the Middle Class Health Benefits Tax Repeal Act of 2015, which would enact a full repeal of the ‘Cadillac Tax’. The bill currently has 185 bi-partisan cosponsors.