Omnibus Budget Reconciliation Act
What is the Omnibus Budget Reconciliation Act?The Omnibus Budget Reconciliation Act is a federal law that the United States Congress passed and President Bill Clinton signed into law. The Omnibus Budget Reconciliation Act dealt with reducing the deficit and with tax increases, so it has been also been referred to as the Deficit Reduction Act of 1993 or the Revenue Reconciliation Act of 1993. There are many parts to the act and below individuals have asked the Experts questions about the Omnibus Budget Reconciliation Act and its parts.
Did the Omnibus Budget Reconciliation Act of 1993 have any effect on Medicaid?In many situations, the Omnibus Budget Reconciliation Act of 1993 did affect Medicaid. When it was passed in 1993, the Omnibus Budget Reconciliation Act made a requirement that states had to recover Medicaid long-term or nursing home care expenses. These recoveries were to be made from the estates of those persons who had received long term Medicaid benefits that were beyond the age of 55, and also those who were deemed by the State to be institutionalized permanently, regardless of the person’s age. It is important to note that if there is anything to an estate, due to the eligibility thresholds being so low financially that usually the home is the most valuable asset, and has the potential to be subjected to Medicaid recovery.
Does the Omnibus budget Reconciliation Act of 1993 have any effect on gifts?In some cases, the Omnibus Reconciliation Act of 1993 does have an effect on gifts, if the gift is given to a recipient of Medicaid. The Omnibus Reconciliation Act of 1993 has a provision in it that states that any gift that is significant in nature given to a recipient of Medicaid can or will make the recipient of Medicaid ineligible to receive Medicaid benefits until the significant gift is spent.
Was the D4A trust created by the Omnibus Budget Reconciliation Act of 1993?In this case, the D4A trust was set up due to the Omnibus Budget Reconciliation Act of 1993. A D4A trust allows for funds to be in the trust without prohibiting the recipient of social security disability or other forms of disability payments from receiving their benefits or affecting their eligibility to receive these benefits. This allows money to be saved to cover medical needs or financial needs to be covered outside what the social security or other form of benefits covers. It is possible for the trustee of a D4A trust to be a parent or a guardian.
The Omnibus Budget Reconciliation Act of 1993 had measures that increased taxes and decreased the Deficit. The Omnibus Budget Reconciliation Act of 1993 was signed into law by President Bill Clinton. The Omnibus Budget Reconciliation Act of 1993 had many parts and affected the Medicaid program in several ways. Any questions in regards to the Omnibus Budget Reconciliation Act can be directed to the Experts.