The House Republican intend to revamp Obamacare provides regulations for healthcare companies with highly-paid executives.
The Affordable Care Act allowed the companies to take deductions of salaries as high as $500,000.
But the House Healthcare Reform Act of 2021 eliminates the cap beginning in 2021 — allowing health insurers to deduct the whole salaries of CEOs and other executives making huge amount of money annually.
For example, both Aetna CEO Mark Bertolini and Cigna CEO David Cordani make a lot more than $15 million a year.
“Under the proposal, the limit around the deduction of a covered medical health insurance provider . . . no longer applies,” a summary prepared by the House Joint Committee on Taxation states.
The analysis estimates the tax break will definitely cost the federal government $400 million from 2021-2026.
The tax sweetener was initially reported by Buzzfeed.
