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Parker Brown Macaulay & Sheerin
Oct. 29, 2013
"According to [Administrative Bulletin 03-13], the Patrick Administration plans to pursue legislation to repeal the following MA health reform provisions: Section 125 Plan requirement; Employer Health Insurance Responsibility Disclosure (Employer HIRD) report; Free Rider Surcharge; and Recently created Section 125 Notification requirement. The primary component is the Section 125 Plan requirement, which provides that employers with 11 or more full-time equivalent employees must offer a Section 125 plan as a way for non-benefits eligible employees to purchase non-group health insurance using pre-tax income with no employer contribution. Under recent federal guidance ... such pre-tax voluntary plans for non-group coverage will not comply with one or more of the ACA market reforms becoming effective in 2014."
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