Employee Benefits News quoted Joanne C. Youn regarding the U.S. Supreme Court's ruling in King v. Burwellon Thursday, June 25, 2015. The Court ruled 6-3 that contested language in the Affordable Care Act provides that premium tax credits are available to qualifying individuals in all states, including states with federally-established exchanges. For the complete article, please visit Employee Benefits News' website.
Excerpt taken from the article.
"The premium tax credits for individuals and their families will remain available in states with federally established exchanges," notes Joanne C. Youn, a member of legal firm Caplin & Drysdale. "This means that employers with employees in those states will be subject to potential penalties under the employer mandate with respect to such employees."
"It's worth noting that the six justices who ruled in favor of the government did so by means of a single opinion without concurrences," notes Youn, who focuses on areas of employee benefits law and ERISA. "This suggests that at least some provisions of the Affordable Care Act can be upheld by a clear and consistent majority on the court."
"While it is not the main point of the decision, another notable aspect of the ruling is the court's conclusion that this area of law is too important for Congress to have delegated to the IRS," she points out, "and therefore that an exception was warranted to the general rule of statutory interpretation previously established by the court under Chevron."