1992 
•AMDT. NO. 2786 
‘‘(ii) such failure is corrected during 
the 30-day period beginning on the 1st 
date that the employer knew, or exercising 
reasonable diligence would have known, 
that such failure existed. 
‘‘(C) WAIVER BY SECRETARY.—In the case 
of any such failure which is due to reasonable 
cause and not to willful neglect, the Secretary 
may waive part or all of the penalty imposed by 
paragraph (1), to the extent that the payment 
of such penalty would be excessive or otherwise 
inequitable relative to the failure involved. 
‘‘(f) OTHER DEFINITIONS AND SPECIAL RULES.— 
For purposes of this section— 
‘‘(1) COVERAGE DETERMINATIONS.— 
‘‘(A) IN GENERAL.—Except as provided in 
subparagraph (B), an employee shall be treated 
as having self-only coverage with respect to any 
applicable employer-sponsored coverage of an 
employer. 
‘‘(B) MINIMUM
ESSENTIAL
COVERAGE.— 
An employee shall be treated as having coverage 
other than self-only coverage only if the em-
ployee is enrolled in coverage other than self- 
only coverage in a group health plan which pro-
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•AMDT. NO. 2786 
vides minimum essential coverage (as defined in 
section 5000A(f)) to the employee and at least 
one other beneficiary, and the benefits provided 
under such minimum essential coverage do not 
vary based on whether any individual covered 
under such coverage is the employee or another 
beneficiary. 
‘‘(2) QUALIFIED RETIREE.—The term ‘qualified 
retiree’ means any individual who— 
‘‘(A) is receiving coverage by reason of 
being a retiree, 
‘‘(B) has attained age 55, and 
‘‘(C) is not entitled to benefits or eligible 
for enrollment under the Medicare program 
under title XVIII of the Social Security Act. 
‘‘(3) EMPLOYEES ENGAGED IN HIGH-RISK PRO-
FESSION.—The term ‘employees engaged in a high- 
risk profession’ means law enforcement officers (as 
such term is defined in section 1204 of the Omnibus 
Crime Control and Safe Streets Act of 1968), em-
ployees in fire protection activities (as such term is 
defined in section 3(y) of the Fair Labor Standards 
Act of 1938), individuals who provide out-of-hospital 
emergency medical care (including emergency med-
ical technicians, paramedics, and first-responders), 
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•AMDT. NO. 2786 
and individuals engaged in the construction, mining, 
agriculture (not including food processing), forestry, 
and fishing industries. Such term includes an em-
ployee who is retired from a high-risk profession de-
scribed in the preceding sentence, if such employee 
satisfied the requirements of such sentence for a pe-
riod of not less than 20 years during the employee’s 
employment. 
‘‘(4) GROUP HEALTH PLAN.—The term ‘group 
health plan’ has the meaning given such term by 
section 5000(b)(1). 
‘‘(5) HEALTH INSURANCE COVERAGE; HEALTH 
INSURANCE ISSUER.— 
‘‘(A) HEALTH
INSURANCE
COVERAGE.— 
The term ‘health insurance coverage’ has the 
meaning given such term by section 9832(b)(1) 
(applied without regard to subparagraph (B) 
thereof, except as provided by the Secretary in 
regulations). 
‘‘(B) HEALTH
INSURANCE
ISSUER.—The 
term ‘health insurance issuer’ has the meaning 
given such term by section 9832(b)(2). 
‘‘(6) PERSON
THAT
ADMINISTERS
THE
PLAN 
BENEFITS.—The term ‘person that administers the 
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•AMDT. NO. 2786 
plan benefits’ shall include the plan sponsor if the 
plan sponsor administers benefits under the plan. 
‘‘(7) PLAN SPONSOR.—The term ‘plan sponsor’ 
has the meaning given such term in section 3(16)(B) 
of the Employee Retirement Income Security Act of 
1974. 
‘‘(8) TAXABLE PERIOD.—The term ‘taxable pe-
riod’ means the calendar year or such shorter period 
as the Secretary may prescribe. The Secretary may 
have different taxable periods for employers of vary-
ing sizes. 
‘‘(9) AGGREGATION
RULES.—All employers 
treated as a single employer under subsection (b), 
(c), (m), or (o) of section 414 shall be treated as a 
single employer. 
‘‘(10) DENIAL OF DEDUCTION.—For denial of a 
deduction for the tax imposed by this section, see 
section 275(a)(6). 
‘‘(g) REGULATIONS.—The Secretary shall prescribe 
such regulations as may be necessary to carry out this 
section.’’. 
(b) CLERICAL AMENDMENT.—The table of sections 
for chapter 43 of such Code, as amended by section 1513, 
is amended by adding at the end the following new item: 
‘‘Sec. 4980I. Excise tax on high cost employer-sponsored health coverage.’’. 
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•AMDT. NO. 2786 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2012. 
SEC. 9002. INCLUSION OF COST OF EMPLOYER-SPONSORED 
HEALTH COVERAGE ON W–2. 
(a) IN GENERAL.—Section 6051(a) of the Internal 
Revenue Code of 1986 (relating to receipts for employees) 
is amended by striking ‘‘and’’ at the end of paragraph 
(12), by striking the period at the end of paragraph (13) 
and inserting ‘‘, and’’, and by adding after paragraph (13) 
the following new paragraph: 
‘‘(14) the aggregate cost (determined under 
rules similar to the rules of section 4980B(f)(4)) of 
applicable employer-sponsored coverage (as defined 
in section 4980I(d)(1)), except that this paragraph 
shall not apply to— 
‘‘(A) coverage to which paragraphs (11) 
and (12) apply, or 
‘‘(B) the amount of any salary reduction 
contributions to a flexible spending arrange-
ment (within the meaning of section 125).’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2010. 
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