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ARPA Requires Tax-Free COBRA Subsidy

By Gretchen Harders, Susan Gross Sholinsky & Tzvia Feiertag on March 30, 2021
Posted in Employee Benefits
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As part of the American Rescue Plan Act of 2021 (“ARPA”), signed into law on March 11, 2021, employers will be required to provide, on a tax-free basis, a subsidy to employees and their qualified beneficiaries to pay 100% of the COBRA continuation premium for group health plan coverage. This subsidy applies only to “assistance…

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