The average American in Yuma, Ariz., could lose $7,815 in premium tax credits under the American Health Care Act, according to a recent analysis conducted by WalletHub.
The AHCA ties tax credits to age instead of income, which would have a varying effect on cities around the country, according to the analysis.
WalletHub compared average tax credits under the AHCA to those under the ACA for 457 cities of varying sizes. It estimated average tax credits for the 10 most populated zip codes in each city based on a two-person, joint-filing household of median age and income. ACA premium tax credits were based on values found with the Kaiser Family Foundation Health Insurance Marketplace Calculator. AHCA premium tax credits used the age-based dollar amounts that allot $4,000 for Americans ages 20-29 and increase with age until a person reaches age 60 and up, when the tax credits max out at $8,000.
Here are the 10 cities that stand to lose the most in premium tax credits under the AHCA.
1. Yuma, Ariz. — Average household would lose $7,815 in premium tax credits.
2. Anchorage, Ala. — Average household would lose $7,748 in premium tax credits.
3. Syracuse, N.Y. — Average household would lose $6,398 in premium tax credits.
4. Reading, Pa. — Average household would lose $6,149 in premium tax credits.
5. Chattanooga, Tenn. — Average household would lose $5,786 in premium tax credits.
6. Greenville, N.C. — Average household would lose $5,067 in premium tax credits.
7. Fayetteville, N.C. — Average household would lose $4,687 in premium tax credits.
8. Birmingham, Ala. — Average household would lose $4,494 in premium tax credits.
9. Wichita Falls, Texas — Average household would lose $4,434 in premium tax credits.
10. Asheville, N.C. — Average household would lose $4,232 in premium tax credits.
However, of the 457 cities studied, the average person in 357 cities would actually receive larger tax credits than under current law. In 23 cities where the current average ACA tax credit is $0, the average enrollee would gain $6,000 in tax credits under the proposed GOP plan, such as Boca Raton, Fla.; Santa Monica, Calif.; Sugar Land, Texas; Newton, Mass.; and Arlington Heights, Ill.
This map from WalletHub shows how well cities would fare under the proposed plan in terms of gain or loss in tax subsidies. The larger and bluer dots represent cities that would fare well under the proposed plan, while the smaller purple dots represent cities that would not fare well.
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