Press Releases

Chairman Chabot Seeks Information from IRS on the Effect of Obamacare on Small Businesses

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Washington, December 14, 2017 | comments

WASHINGTON – This week, House Committee on Small Business Chairman Steve Chabot (R-OH) sent a letter to David Kautter, Acting Commissioner of the Internal Revenue Service (IRS), requesting more information about the IRS’s recent enforcement of the Affordable Care Act (ACA) employer mandate.

While ACA exempted businesses with 50 or fewer employees from the employer mandate, businesses with 51 or more employees who work 30 or more hours a week were classified as applicable large employers and were made subject to inflation adjusted shared responsibility payments if they had not offered ACA qualified health insurance.

The ACA’s definition of large employers is out of line with the rest of the federal government and the Obama Administration failed to enforce this rule for years.

 “While the IRS, like other federal agencies, is obligated to enforce the laws under its jurisdiction, this sudden change has caught and will catch many employers by surprise,” said Chairman Chabot. “After the Obama-era IRS failed to enforce the law for several years, these small businesses are now subject to random and abrupt collection of these payments by the IRS.”

The full letter to the IRS can be read HERE.

The House Committee on Small Business has heard testimony from numerous small business employees and owners about how Obamacare has cost jobs and opportunities in communities across the United States and needs to be repealed and replaced. 

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Tags: Health