AT&T anticipates a current quarter cost of $1 billion for health care reform

[Care4all]

goodmorning annie....this is what the article says about it, which makes it clearer than my attempt.

I am not certain this measure does what you say you heard on it or how this measure would stop them from providing the same benefit....?

When the Medicare prescription drug program was passed in 2003, it included a provision granting employers a subsidy of 28%, or up to $1,330, per retiree for prescription drug costs.

Even though the federal subsidies were already tax free, employers could still write them off on their income taxes, in addition to writing off their own contribution. The new law, signed by Obama on Tuesday, maintains the subsidy as a tax-free incentive to employers, but prohibits them from taking it as a deduction.

White House spokesman Robert Gibbs defended this change on Thursday, explaining that the previous law essentially allowed for two deductions - one for the employer's own contribution, and another for the tax-free federal subsidy.

"This bill, our bill simply closes the loophole and allows them to deduct that money one time by not counting it as income," Gibbs said.

 

[Annie]

goodmorning annie....this is what the article says about it, which makes it clearer than my attempt.

I am not certain this measure does what you say you heard on it or how this measure would stop them from providing the same benefit....?

When the Medicare prescription drug program was passed in 2003, it included a provision granting employers a subsidy of 28%, or up to $1,330, per retiree for prescription drug costs.

Even though the federal subsidies were already tax free, employers could still write them off on their income taxes, in addition to writing off their own contribution. The new law, signed by Obama on Tuesday, maintains the subsidy as a tax-free incentive to employers, but prohibits them from taking it as a deduction.

White House spokesman Robert Gibbs defended this change on Thursday, explaining that the previous law essentially allowed for two deductions - one for the employer's own contribution, and another for the tax-free federal subsidy.

"This bill, our bill simply closes the loophole and allows them to deduct that money one time by not counting it as income," Gibbs said.

I'm sure we'll find out soon enough. I don't have the facts, but tend to remain skeptical of Gibbs pronouncements. There are so many things in the bill, it will take a long time to find them all. This one part, seems businesses were well aware of since winter.

 

[Gadawg73]

Do you people even read the links you post?
The bill ELIMINATES tax subsidies ATT gets.
Where does ATT get tax subsidies?
From us, the taxpayers.
DUH.
This saves us $$$ as a nation. Let ATT do it without the tax subsidies.
This is very good news, something GOOD in the otherwise half ass bill.
Liberal union loving Democrats hate this part of the bill.

 

[xsited1]

AT&T is anticipating a cost of $1 billion this quarter to cover the new health care reform law passed this week.

AT&T to take $1 billion charge on health care bill - Mar. 26, 2010

Great, the benefits of this plan are starting to become obvious. Oh, did I say benefits? I guess I should have said costs.

Rick

I wonder what's going to go broke first: Social Security, Medicare or this new health plan?