Under current policy, employer-based health insurance is not considered taxable income. Suppose that tax preference was eliminated
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Under current policy, employer-based health insurance is not considered taxable income. Suppose that tax preference was eliminated and replaced with a system where everyone received a $5000 refundable tax credit to buy their own insurance. Currently the average family plan among those with employer-based health insurance costs substantially more than $5000. Please explain your answers to the following:
a. How might such a change affect employee wages?
b. How might such a change affect premium expenditures
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
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