GOP senators introduce bill to repeal Obama health law's insurance tax

Sens. John BarrassoJohn BarrassoLive coverage: Senate begins debate on ObamaCare repeal What Trump can do to cripple ObamaCare Top Republican: Senate will vote to proceed to House healthcare bill MORE (R-Wyo.) and Orrin HatchOrrin HatchThe one part of ObamaCare that must be repealed now GOP seeks to meet referee’s rules on healthcare repeal Hatch shares gif of dumpster fire: ‘Checking in on Dodd Frank’ MORE (R-Utah) are winning praise for a bill to kill the Affordable Care Act's tax on health insurance.

The lawmakers reintroduced the measure Tuesday, arguing that the healthcare law is weighing heavily on the economy.

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"Higher insurance costs, fewer jobs and smaller paychecks is not what President Obama promised when he signed the largest expansion of government into law nearly three years ago, but that’s exactly what’s already happening," Hatch said in a statement.

The bill's introduction comes alongside a new industry report saying the coverage tax will cost 146,000 to 262,000 jobs by 2022, with the majority of losses hitting small businesses.

The National Federation of Independent Business, which produced that report, praised the bill along with the health insurance lobby.

"Taxing health insurance makes it more expensive, and that is the opposite of what health care reform was supposed to accomplish," said America's Health Insurance Plans President Karen Ignani in a statement.

"Families and small businesses simply cannot afford to pay an additional $100 billion sales tax on their health insurance at a time when they are already struggling to keep up with rising medical costs."

Supporters of the tax say it's necessary to ensure the healthcare law does not increase the deficit, and that insurers can manage given their profit margins.

Barrasso and Hatch previously introduced the bill in November 2011.

Reps. Charles BoustanyCharles BoustanyControversial House Republican gains national attention after filming Auschwitz video Democrats, Republicans must work together to advance health care Lobbying World MORE (R-La.) and Jim MathesonJim MathesonTrump's budget targets affordable, reliable power Work begins on T infrastructure plan New president, new Congress, new opportunity MORE (D-Utah) introduced similar House legislation last month.