The Affordable Care Act Of Congress - 1560 Words

The affordable care act was passed into law by congress and the president in 2010. This plan was established to help all individuals obtain health insurance, regardless of having a pre-existing condition through the government marketplace as an affordable amount, or if you did not meet the set standards, was offered a state based health care coverage (HHS, 2015). Those individuals who did not have qualified medical coverage for the majority of the tax year, they would be penalized and have to pay a certain amount or a percentage based off of their income. Also under the ACA employers are now responsible, depending on how many employees are employed with their company, to offer their full time employees health care coverage, or also face a†¦show more content†¦Under the ACA for individuals, they are able to select their health care coverage either through their employer, through the government, by finding a plan on their own, or have no insurance coverage at all and face the tax penalty, year after year that the taxpayer goes without coverage. There are actually ways that the individual can benefit from when filing their taxes. An option for selecting health care coverage is through the government’s website exchange, this is referenced to the Premium tax credit. Under this credit as defined in 26 C.F.R.  § 1.36B-1 , individuals are able to select their own health care coverage with the plans being labeled as on silver, bronze, gold, or platinum plans, and gives the taxpayer a refund on the premium amount. If a taxpayer plans on selecting one of these, the government will give you a tax break if your income places you under the 400% of the poverty level (Obamacare, 2015). Under ACA, employers are now faced with a challenge of their own, if they have 50 or more employees they are now required to offer healthcare coverage to their full-time employees, and if they do not they will be faced to pay a tax penalty. With smaller employers they would be offered a tax break on offering their employees coverage through the government marketplace. Another way that the ACA changed the tax on other companies is