The American Health Care Act of 2017 (AHCA) passed the House on May 4, but still has to pass the Senate by a simple majority. Most of the bill would go into effect in 2017. The AHCA, as amended, would repeal virtually all of Obamacare. If the bill is passed in its current form, the top ten tax provisions you absolutely need to know are:
It will postpone the 40% excise tax from 2020 to 2026. Number 9: It will repeal the tax on over-the-counter medications.
It will modify rules for enhance health savings accounts and flexible spending accounts and permit pre-existing conditions.
It will repeal the 0.9% additional Medicare tax in 2023.
It will modify the small business tax credit.
It will eliminate penalties for employer mandates. Employers with over 50 employees will not be required to offer full-time employees health coverage retroactive for months beginning after December 31, 2015.
It will lower the qualifying adjusted gross income threshold for medical care deductions to 5.8% from 10%.
It will create refundable tax credits from $2,000 to $4,000 based on age for health insurance coverage that phases out after income reaches $75,000 single taxpayers.
It will repeal the 3.8% tax on the net investment income beginning in 2017.
And Number 1
It will repeal the individual penalty for not having health insurance.