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Democrats Push Legislation to Make ACA Subsidies Permanent

The proposed bill aims to extend enhanced tax credits that lower health insurance costs, setting up a significant political battle.

  • Senators Jeanne Shaheen and Tammy Baldwin are introducing a bill to make the Affordable Care Act's enhanced tax credits permanent.
  • The expanded tax credits, initially created during the COVID-19 pandemic, are set to expire at the end of 2025.
  • Democrats argue that making the tax credits permanent will prevent millions of Americans from facing higher health care costs and losing insurance coverage.
  • Republicans criticize the subsidies as costly and inflationary, with some alleging they lead to fraud and misuse of federal funds.
  • The Congressional Budget Office projects that extending the tax credits would cost the federal government approximately $335 billion over the next decade.
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