Section 1515

SEC. 1515. OFFERING OF EXCHANGE-PARTICIPATING QUALIFIED HEALTH PLANS THROUGH CAFETERIA PLANS.

[a] IN GENERAL.—Subsection [f] of section 125 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:

"[3] CERTAIN EXCHANGE-PARTICIPATING QUALIFIED HEALTH PLANS NOT QUALIFIED.—

"[A] IN GENERAL.—The term "qualified benefit" shall not include any qualified health plan [as defined in section 1301[a] of the Patient Protection and Affordable Care Act] offered through an Exchange established under section 1311 of such Act.

"[B] EXCEPTION FOR EXCHANGE-ELIGIBLE EMPLOYERS.— Subparagraph [A] shall not apply with respect to any employee if such employee's employer is a qualified employer [as defined in section 1312[f][2] of the Patient Protection and Affordable Care Act] offering the employee the opportunity to enroll through such an Exchange in a qualified health plan in a group market.".

[b] CONFORMING AMENDMENTS.—Subsection [f] of section 125 of such Code is amended—

[1] by striking "For purposes of this section, the term" and inserting "For purposes of this section— "[1] IN GENERAL.—The term", and

[2] by striking "Such term shall not include" and inserting the following:

"[2] LONG-TERM CARE INSURANCE NOT QUALIFIED.—The term "qualified benefit" shall not include".

[c] EFFECTIVE DATE.—The amendments made by this section shall apply to taxable years beginning after December 31, 2013.