7 days ago
Memo advises GOP to extend ACA tax credits
President Trump's 'big, beautiful bill' pays for an extension of his 2017 tax cuts in part through slashing about $1 trillion from Medicaid over the next decade. Democrats across the country are ready to make these cuts the prominent issue ahead of the midterm elections.
The memo notes that all benefits from those tax cuts will be nullified because of premium increases if the subsidies are not extended.
PUP Research is the sister group to PUP Advocacy, a conservative advocacy organization.
'Unfortunately, data shows that the expiration of enhanced premium tax credits on January 1, 2026, will increase health care costs to a level that will counteract the tax benefits of OBBB for over 20 million people,' the group wrote.
Extra subsidies that help people afford ObamaCare premiums that were put in place during the coronavirus pandemic are set to expire at the end of the year, and there are few signs Republicans are interested in tackling the issue at all.
If Congress takes no action, premiums for subsidized enrollees are projected to increase by more than 75 percent starting in January 2026, according to health research group KFF.
There is broad bipartisan and public support for extending the subsidies, and the memo cited recent polling from Trump pollster Fabrizio Ward that showed Republicans losing support in the most competitive districts if the tax credits expire.
But if Republicans extend them, the poll showed they can gain an advantage against Democrats in the midterms. The Republican candidate that supports extending the tax credits would lead the Democrat on the generic ballot by 6 points overall.
