Chamber Challenges Pay Deduction Cap For Health Insurers
By Erica Teichert
Law360, Washington (July 2, 2013, 6:05 PM EDT) -- The U.S. Chamber of Commerce blasted the Internal Revenue Service's proposed $500,000 deduction cap for the compensation certain health insurance companies pay their employees, claiming in comments submitted Monday that the rule would make it more difficult for the companies to nab top talent and could inflate insurance rates.
Under a complex Affordable Care Act provision amending the Internal Revenue Code, covered health insurance providers will be able to deduct only $500,000 in employee compensation. According to the chamber, this rule is overly broad, as it...