King v. Burwell, a case challenging the legality of subsidies under the Patient Protection and Affordable Care Act, will not be heard by the United States Supreme Court today.
The PPACA states tax subsidies for health insurance are to be provided "through an exchange established by the state." Based on the text of the law, lawsuits were filed challenging an IRS regulation that allows for subsidies in all states.
On July 22, a three-judge panel from the Fourth U.S. Circuit Court of Appeals unanimously held low-and middle-income Americans in all states can legally receive subsidies for health insurance under the PPACA. The plaintiffs appealed the case all the way to the U.S. Supreme Court.
Just two hours prior to the Fourth Circuit Court of Appeals decision being issued, a three-judge panel of the D.C. Circuit Court of Appeals ruled tax subsidies can not be provided in states that did not establish their own exchanges. This ruling has been vacated and will be heard by the full D.C. Circuit Court, with oral arguments beginning Dec. 17.
Although the Supreme Court passed on hearing King v. Burwell today, it could still hear the case at a later date. It is possible the court is waiting to see the outcome of the D.C. Circuit Court case before making a decision about whether to hear King v. Burwell.
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