Posted: Oct 14, 2005 By: James Moore, Ph.D.

Subject: Tax on Employer Portion of Health Benefits

Comment: Taxing employees on the value of their employer-sponsored health coverage would exacerbate an already difficult situation. Increasing the cost of health coverage at a time when millions of Americans and scores of businesses already cannot afford it is ludicrous. Personally, our organization has seen the cost of health coverage increase by double digits over each of the past five years. We have had to reduce coverage and increase the premium burden on our employees in order to retain our policy. And our employees are already struggling with other living expenses. Taxation of such a critical component of living makes absolutely no sense and I would strongly encourage you to seek other solutions. Thank you.