What is the criteria for if an insurance policy will be taxed?

[hollowdweller]

Does anybody know what constitutes a "cadillac plan"?

Will this be just included as income on your income tax or a separate tax?

Will your employer cover the tax if you have healthcare thru your job or will this be on you?

Thanks for any info.

[MercutioATC]

1. There are no criteria yet.

"Cadillac" is a subjective term. IF they ever decide to tax health insurance benefits, THEN they'll draw the lines.

[jillan]

2. I'm not sure, but I do know the unions are pretty upset about this.

[NorthCarolina]

3. If you are not a member of the Senate or Congress, and you have Health Care

it is a "cadillac plan".:shrug:

[eilen]

4. Personally, I believe they will just tax every plan.

They will call it a "surcharge" or they will call it a "chargeback" to insurance companies who will just raise your rates 2x that amount for "administrative costs." I live in NY, we are wise to the art of double and triple taxation on the same money.

[sinkingfeeling]

5. It's spelled out in Section 9001 of the Senate bill.

‘‘(I) in the case of an employee
21 with self-only coverage, $8,500, and
22 ‘‘(II) in the case of an employee
23 with coverage other than self-only cov24
erage, $23,000.

It will be an excise tax.