A group of 101 economists sent a letter in support of the Cadillac Tax to Congress on Thursday, Oct. 1, according to Heartland News.
Here are five takeaways:
1. The group implores Congress to take no action to weaken, delay or reduce the Cadillac Tax unless Congress implements a tax change that would better curtail cost growth.
2. The tax mandates employers to pay a 40 percent tax on the health benefits they give employees. It will go into effect in 2018.
3. Over the next 10 years, the tax is projected to bring in $91 billion to the federal government.
4. Those opposed to the Cadillac tax argue it penalizes employers with higher healthcare costs.
5. Opponents also argue the tax punishes companies for costs that are out of the companies' control. They allege the tax punishes the companies operating in specific industries or geographic locations where health insurance is costly.
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