NC H114

Subjects prepaid health plans licensed under Article 93 of Chapter 58 to the gross premiums tax imposed on insurance companies.

Defines prepaid health plans as entities holding a prepaid health plan license and establishes tax base as gross capitation payments received from the Department of Health and Human Services for State Medicaid and NC Health Choice program enrollees.

Sets tax rate for prepaid health plans at 1.9% on gross capitation payments, with net proceeds credited to the General Fund.

Requires prepaid health plans with $10,000 or more in annual premium tax liability to remit quarterly installment payments on April 15, June 15, and October 15, with final balance due by March 15.

Effective October 1, 2019, applying to capitation payments received by prepaid health plans on or after that date.