26 U.S.C. § 5000 : US Code - Section 5000: Certain group health plans

Search 26 U.S.C. § 5000 : US Code - Section 5000: Certain group health plans

    (a) Imposition of tax
      There is hereby imposed on any employer (including a self-
    employed person) or employee organization that contributes to a
    nonconforming group health plan a tax equal to 25 percent of the
    employer's or employee organization's expenses incurred during the
    calendar year for each group health plan to which the employer or
    employee organization contributes.
    (b) Group health plan and large group health plan
      For purposes of this section - 
      (1) Group health plan
        The term "group health plan" means a plan (including a self-
      insured plan) of, or contributed to by, an employer (including a
      self-employed person) or employee organization to provide health
      care (directly or otherwise) to the employees, former employees,
      the employer, others associated or formerly associated with the
      employer in a business relationship, or their families.
      (2) Large group health plan
        The term "large group health plan" means a plan of, or
      contributed to by, an employer or employee organization
      (including a self-insured plan) to provide health care (directly
      or otherwise) to the employees, former employees, the employer,
      others associated or formerly associated with the employer in a
      business relationship, or their families, that covers employees
      of at least one employer that normally employed at least 100
      employees on a typical business day during the previous calendar
      year. For purposes of the preceding sentence - 
          (A) all employers treated as a single employer under
        subsection (a) or (b) of section 52 shall be treated as a
        single employer,
          (B) all employees of the members of an affiliated service
        group (as defined in section 414(m)) shall be treated as
        employed by a single employer, and
          (C) leased employees (as defined in section 414(n)(2)) shall
        be treated as employees of the person for whom they perform
        services to the extent they are so treated under section
        414(n).
    (c) Nonconforming group health plan
      For purposes of this section, the term "nonconforming group
    health plan" means a group health plan or large group health plan
    that at any time during a calendar year does not comply with the
    requirements of subparagraphs (A) and (C) or subparagraph (B),
    respectively, of paragraph (1), or with the requirements of
    paragraph (2), of section 1862(b) of the Social Security Act.
    (d) Government entities
      For purposes of this section, the term "employer" does not
    include a Federal or other governmental entity.