Sec. C-1. 36 MRSA c. 370-A is enacted to read:

CHAPTER 370-A

PAYROLL TAX

§2831.__Payroll tax on wages and earnings

1. Tax levied. Every taxpayer constituting an employing unit in this State shall pay a tax of 5% on all gross earnings of that employing unit's employees. Every taxpayer who is self-employed shall pay a tax of 5% on all gross earnings of that taxpayer's wages and earnings.

2. Payment of tax; returns.__Every taxpayer subject to the tax imposed by this section shall, on or before the last day of each April, the last day of each June and the last day of each October, file with the assessor on forms prescribed by the assessor a return for the quarter ending the last day of the preceding month, except for the month of June, which is for the quarter ending June 30th. The final return and payment must be filed on or before March 15th covering the prior calendar year. At the time of filing such returns, each taxpayer shall pay to the assessor the amount of tax shown due. A taxpayer with annual tax liability not exceeding $500 may with approval of the assessor file an annual return with payment on or before March 15th covering the prior calendar year.

3. Maine Universal Health Care Fund.__The assessor shall pay taxes collected under this section to the Maine Universal Health Care Fund established in Title 24-A, section 4165.

SUMMARY

In Part A, this bill establishes the Maine Universal Health Care Plan. It establishes the Maine Universal Health Care Agency as an independent agency to administer the plan. Under the plan, enrollees are provided health care coverage after the policy limits of their primary health care policy have been reached. Coverage under the plan is contingent upon the enrollee's having secured coverage for primary and preventive care either individually or through the enrollee's employer. The primary health care policy must be approved by the Bureau of Insurance.