The Affordable Care Act (ACA) increases the Medicare hospital insurance tax rate for high-income individuals beginning in 2013. The Internal Revenue Service (IRS) issued answers to frequently asked questions (FAQs) regarding the Additional Medicare Tax. The Additional Medicare Tax applies to individuals’ wages, other compensation and self-employment income over certain thresholds.
On Nov. 30, 2012, the Internal Revenue Service (IRS) released proposed regulations on the Additional Hospital Insurance Tax, also known as the Additional Medicare Tax. Under the Affordable Care Act (ACA), effective Jan. 1, 2013, employers must withhold an additional tax of 0.9 percent on wages in excess of $200,000 that any of their employees receive in a calendar year.
The Affordable Care Act (ACA) created the Patient-Centered Outcomes Research Institute (Institute) to help patients, clinicians, payers and the public make informed health decisions by advancing comparative effectiveness research. The Institute’s research is to be funded, in part, by fees paid by health insurance issuers and sponsors of self-insured health plans. These fees are widely known as Patient-Centered Outcomes Research Institute fees (PCORI fees), although they may also be called PCOR fees or comparative effectiveness research (CER) fees.