One element of the Affordable Care Act (ACA) that hasposed major concerns for employers may soon cease to trouble them.There's growing support for legislation that would repeal the ACA's tax on high-cost employee health plans, dubbed the“Cadillac tax.”

Scheduled to take effect in 2018, the Cadillac tax requirescompanies to pay a 40% excise tax on health coverage that exceeds acertain level. In 2018, the levels are $10,200 a year forindividual coverage and $27,500 for family coverage.

This was designed to be one of the ACA's main means ofcontaining healthcare costs. It is also expected to raise asignificant amount of revenue to offset some of the costsassociated with healthcare reform. The issue of replacing the lostrevenue is the main barrier to a repeal.

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Susan Kelly

Susan Kelly is a business journalist who has written for Treasury & Risk, FierceCFO, Global Finance, Financial Week, Bridge News and The Bond Buyer.