On June 11, 2018 legislation created a new multi-tiered health insurance tax that was signed into law by Governor Snyder. Specifically, 2018 PA 175 (PA 175) created the Insurance Provider Assessment Act (IPAA), which institutes a new health care-related tax incorporating both a fixed and variable rate structure. A companion act, 2018 PA 173 (PA 173), repeals the current Health Insurance Claims Assessment Act (HICAA) as of the date that the assessment under the IPAA begins to be levied, and a second companion act, 2018 PA 174 (PA 174), eliminates a provision of the Use Tax Act that would have reinstated the Medicaid managed care use tax on July 1, 2020, the date that HICAA was previously scheduled to sunset.
Notices
Notice: Repeal of the Health Insurance Claims Assessment Act
Notice: HICAA Repealed, IPAA Enacted, Effective October 1, 2018
Notice: Training Seminar for Taxpayers Subject to the IPAA
Resources
IPA Tax Base and Determination Process Seminar Video
IPA Tax Base and Determination Process Presentation Slides (Updated 2/15/19)
IPA Frequently Asked Questions
Payments
All payments under PA 175, the Insurance Provider Assessment Act (IPAA), are required to be remitted to the Michigan Department of Treasury (Treasury) by ACH Debit (e-check)
The IPA E-Payment system is a secure and convenient method to pay quarterly assessments. You will need your company FEIN, bank routing number and account number. Please click on the blue button below to proceed with submitting your payment.
Make an IPA Assessment Payment
Contact Information
For More information, please contact the Miscellaneous Taxes and Fees Unit at:
Michigan Department of Treasury
Special Taxes Division/Misc. Taxes and Fees
PO Box 30781
Lansing, MI 48909-8281
Phone: 517-636-0515
Fax: 517-636-4593
Treas_MiscTaxesFees@michigan.gov
