CONGRESSMAN YOUNG INTRODUCES FREEDOM FROM THE ACA TAX PENALTY ACT

WASHINGTON, D.C. - Congressman David Young today took an important step to protect the economic well-being of Iowans who may be caught in a mandated individual tax penalty catch-22 next year created by the Affordable Care Act (ACA)/Obamacare Law. Aetna and Wellmark Blue Cross and Blue Shield announced their plan to pull out of Iowa's individual health insurance market for 2018. And on May 3, The Des Moines Register reported Medica very likely could follow the footsteps of those other carriers and leave the individual insurance market if certainty and stability was not established. The potential departure of the three providers would leave over 70,000 Iowans in 94 of Iowa's 99 counties with zero health care options. Those Iowans would still be subject to a tax penalty - mandated by Obamacare - which forces individuals who do not purchase health insurance to pay a yearly individual tax penalty to the (Internal Revenue Service (IRS). The average penalty paid for not purchasing health insurance in 2016 was $470 per person, according to the Internal Revenue Service Commissioner but the law allows for penalties of up to $2,085 per person.

Young introduced the Freedom From the ACA Tax Penalty Act, H.R. 2516, on Thursday, May 18. His legislation would waive this tax penalty and requirement under Obamacare for Iowans, and any American, who has no access to health coverage because of the failing health care law.

"Iowans are worried they may not have access to health coverage next year because of the failing Affordable Care Act - Obamacare. That is heavy enough of a burden on a family's mind. But, having the federal government penalize them several hundreds of dollars because they are caught in the health care access catch-22 through no fault of their own is unfair," said Congressman Young.

In early May, the House of Representatives passed legislation strengthening health access and affordability for Iowans which included the permanent full repeal of the oppressive Obamacare mandate and tax penalty. While not perfect, it took the necessary steps to establish a common sense solution to the failures of the ACA and instead provide stability for access to health care for Americans while also ensuring the protection of those with pre-existing conditions and the most vulnerable in our nation.

Read this original document at: https://davidyoung.house.gov/media-center/press-releases/congressman-young-introduces-freedom-aca-tax-penalty-act