KY Employers Seek Delay in Health Insurance Tax

Kentucky employers are calling on Congress to pass a one year delay of the Health Insurance Tax, or HIT, to prevent a small business tax hike starting next year. The Health Insurance Tax, or HIT, is a sales tax on health insurance plans sold in the fully-insured marketplace, where 9 out of 10 employers purchase their insurance. Employers say the tax has an estimated cost of $500 a year for people covered through work. Earlier, Congress suspended the tax for 2017, providing temporary relief, but local business leaders are concerned that unless Congress passes another delay HIT will force healthcare premiums higher in 2018.