WASHINGTON -- The National Retail Federation (NRF) threw its support behind House Republicans’ Affordable Care Act replacement plan. The proposal would end the Obama administration’s employer mandate to provide healthcare coverage and allow retailers to retain their tax exclusion status on health benefits, the group said.
“Retailers want reforms that push us toward a more competition-driven private healthcare market, and the Obamacare repeal-and-replace bills take us in that direction” said David French, senior vice president of government relations for NRF, Washington, D.C.
Maintaining tax exempt employer-provided benefits ensures that young, healthy workers don’t drop the plan rather than pay more taxes, French said. Previous GOP proposals for replacement included a tax on employer-based plans, and the NRF is still wary that the tax will crop up in future versions of the current bill.
The NRF also plans to continue pushing back against the Affordable Care Act’s “Cadillac” tax. The excise tax attempts to hinder overspending or overuse of coverage by taxing plans exceeding $10,200 in premiums per year for individuals. The House’s draft delays the tax, currently set to go into effect in three years, until 2025.
NRF also supports efforts to repeal the Obamacare employer mandate and to provide the individual and small-group markets with interim stability. “Health benefits are highly sought after, even for small startup businesses, and greater stability will help create a better functioning market,” French said.
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