Benefits Buzz
The Inflation Reduction Act (IRA) signed into law last week included some healthcare provisions that primarily impact Medicare and plans sold on a Health Insurance Marketplace; however, some of the provisions included in the law may indirectly impact employers and group health plans.
On August 16, 2022, President Joseph Biden signed a bill into law called the Inflation Reduction Act (IRA). While its name may not imply it, there were some provisions in the bill that impact healthcare and/or health insurance. Here is a summary of some of those provisions:
Extension of Enhanced Marketplace Subsidies
The Internal Revenue Service (IRS) recently issued Revenue Procedure 2022-34 which includes important details as it relates to Advanced Premium Tax Credits (APTCs) on Health Insurance Marketplaces and “affordable coverage” as it relates to the Employer Mandate for plan years starting in 2023.
Advanced Premium Tax Credits (APTCs)
Many health and welfare programs offered by employers are subject to non-discrimination testing as identified in the Internal Revenue Code (the“Code”). The non-discrimination tests are designed to ensure that certain groups of employees are not treated more favorably than other groups of employeesin terms of benefits.
The COVID-19 national emergency was set to expire on July 15, 2022; however, a 90-day extension of the national emergency was issued, and the national emergency is now set to expire on October 13, 2022 (absent another extension).
