Both houses of the Legislature passed a bill that would impose a 2.5% excise tax on certain health plans. The money would be used to make health insurance more affordable, according to the bill’s advocates.

NJBIA opposes the tax and urges its members to contact Gov. Phil Murphy and ask him to veto it. Go here to use the online system to send a message.

“New Jersey has seen its GDP contract more than the national average,” NJBIA Chief Government Affairs Officer Chrissy Buteas said in a written statement. “Our unemployment is now the second highest in the nation. And many businesses that will be impacted by this new tax have already been greatly compromised by months of closure or having had limited capacity in their reopening.”

“Raising taxes does not make healthcare more affordable. It’s unfortunate that our policymakers continue to seek ways to inflict financial pain on New Jersey employers as they struggle during these unprecedented challenges.”

The state tax attempts to mirror a federal tax that was imposed nationally as part of the Affordable Care Act (ACA). In 2019, Congress permanently repealed it after twice suspending the tax because it would have led to a 2.2% increase in health insurance costs for individuals, employers, workers and Medicare Advantage members. New Jersey’s policymakers should reject any new health insurance tax on the state level as well, Buteas said.

The tax is also opposed by dozens of other business groups and medical organizations, which wrote a joint letter to Gov. Phil Murphy and members of the Legislature on July 20 saying the legislation would compound the financial hardships facing New Jersey businesses.

19 responses to “Last Chance to Take Action Against the Health Insurance Tax”

  1. dean emmolo says:

    Please do not move forward with this proposed excise tax on certain health benefits.We are struggling already doing business in New Jersey and don’t need the added burden.

  2. Vote no on healthcare tax. Cote no on pushing workmans comp off on small business.

  3. Richard Fenners says:

    Against the health insurance tax! Health insurance is already expensive and now taxing it.

  4. Joe Marshello says:

    Veto the 2.5% excise tax on certain health plans. I’m retired and this would put an added burden on my family. New Jersey residents get taxes enough.

  5. Joseph Marshello says:

    Repeal the 2.5% excise tax on certain health plans. You want to help the residents who are retired? Bring back the COLA.

  6. Bruce J Diner says:

    Employers are struggling to pay employees, business expenses, and revenue is declining for many small business’s. Increasing premiums through an additional tax will mean employers pass on the cost to employees or worse by offering a benefit that increases deductibles and decreases copay percentages or not offer insurance at all!

    With unemployment rising in NJ, business revenue down, and numerous business’s not reopening, now is not the time to raise expenses.

    Exodus of the People!

  7. Bruce J Diner says:

    Employers are struggling to pay employees, business expenses, and revenue is declining for many small business’s. Increasing premiums through an additional tax will mean employers pass on the cost to employees or worse by offering a benefit that increases deductibles and decreases copay percentages or not offer insurance at all!

    With unemployment rising in NJ, business revenue down, and numerous business’s not reopening, now is not the time to raise expenses!

  8. Kawal Singh says:

    We are uniting afford more taxes government should save money reducing expenses instead of imposing new taxes.

  9. Roy Ritchie says:

    vote no on the 2.5% additional tax on health care. We already are taxed outrageously in Jersey. Learn how to govern and budget.

  10. Jerry Butler says:

    Obamacare is a failure and being dismantled. Only NJ would be dumb enough to try and save it with this nonsense.

  11. Kim says:

    Vote no. We can barely afford the health insurance now!

  12. bonnie says:

    What is wrong with these people? Dont they see what is going on in NJ or they just dont care

  13. Vote NO on the 2.5% additional health care tax. Unemployment is rising in NJ, many businesses are not reopening; business revenue is down or in my case – still at a complete halt — please… now is NOT the time to raise expenses.

  14. We need to stop over taxing small businesses, and the workers of NJ. We can not afford to be tax no more. Vote against this!!!

  15. Brian says:

    as a small business owner 7 families depend on me and we are very close to layoffs or complete shut down after 30 years in business, and they want to tax us more , vote no !!!!!!

  16. Murphy is sucking the life out of NJ. We already pay some of the highest property taxes in the nation.
    Do not add more taxes to our health plans. Taxing us to death, and yes, we even get taxed upon death, will lead to more homelessness and suicides.
    Stop the madness now!!!

  17. Lillian Riehl says:

    Please vote NO NJ already has taxed the Businesses enough

  18. Maher Ibrahim says:

    Enough is enough. Do you want to drive us out of business?
    Please veto the tax increase.

  19. Kathy Westerhoff says:

    Please vote No.