IOUX FALLS, S.D. — The debate over extended Affordable Care Act tax credits continues as Congress has failed to pass legislation to renew the benefits before they expire at the end of the year.
South Dakota Democrats argue Republicans are neglecting the issue, warning that many residents could face higher health insurance premiums. Congressman Dusty Johnson disputes that claim, saying most Americans will still qualify for original ACA tax credits even if the expanded subsidies expire.
Johnson also argues that much of the additional funding from the expanded credits benefits insurance companies rather than consumers. Democrats counter that Congress could fix inefficiencies without eliminating help for people who rely on the credits, especially those with lower incomes.
The enhanced tax credits, first expanded in 2021, increased eligibility and capped premiums at 8.5 percent of income for some enrollees. Without action from Congress, those provisions will end December 31.
