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Court Ruling on ACA Has No Immediate Impact on Employers

December 19, 2018

Written by Complete Payroll

aca ruling on employers gavel

aca ruling on employers gavel

Last Friday, a federal judge in Texas ruled that the entirety of the Affordable Care Act (ACA) was unconstitutional due to changes made to the tax code last year. He said, in short, that eliminating the individual tax penalty made the whole law unworkable. 

The judge did not issue an injunction, so the law remains fully in effect for now. There are no impacts to current or 2019 coverage and no changes to enrollment through healthcare.gov or through state-run Marketplaces. This decision will be appealed, and a final determination on this issue could easily take a year. Lawmakers may attempt to make fixes in the meantime.

We will keep you informed of relevant court decisions or acts of Congress.

DISCLAIMER: The information provided herein does not constitute the provision of legal advice, tax advice, accounting services or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional legal, tax, accounting, or other professional advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation and for your particular state(s) of operation.

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