Americans for Tax Reform (ATR) released today a comprehensive list of tax hikes (penalties) in the Senate’s health care bill. Undocumented Immigrants (who have not “immigrated”) will not see their taxes go up. Salaries for Health Insurance Executives will be capped, and a reporting requirement for small businesses that ATR says is a “huge compliance burden for small employers.”
ATR lays out excise taxes on Cadillac health care plans, a Medicine Cabinet Tax, a Flexible Spending Account (FSA) tax, a tax on Medical Device manufacturers, and a tax on health reimbursement pre-tax dollars to purchase non-prescription, and over the counter medicines.
There is a ‘haircut” for itemized medical deductions from 7.5% to 10%
“Currently, those facing high medical expenses are allowed a deduction if the total cost of the expenses reduces the filer’s income by 7.5% The new provision would impose a threashold of 10%. Waived for 65+ taxpayers in 20103-2016 only.”
There are taxes on Blue Cross/Blue Shield, but not AARP’s Hartford.
There are taxes on Charitable hospitals, like Cleveland Clinic treating Natoma Canfield, President Obama’s latest spotlight for government insurance. According to the Clinic, Ms. Canfield is a candidate for Medicaid, and contrary to Obama’s claims, Cleveland Clinic says it is not true that Canfield must choose between her health and home, and they have no intentions of putting a lien on Canfield’s home, or letting their billing process interfere with her newly diagnosed leukemia treatments.
There are taxes on Innovator Drug Companies – those who pioneer treatments for diseases plaguing Ms. Canfield will be penalized for doing so.
In 2014, families with 3 or more persons will see their taxes hiked $1,485 per family, if you choose not to buy one of the government’s qualified, mandated policies. The tax is the government’s penalty for your failure to do as they tell you to do.
Families of 2 persons will be assessed a penalty of $990 in 2014.
A single person not choosing one of the government’s qualified, mandated policies will be penalized $495.
Along with “undocumented immigrants,” others exempted are “religious objectors,” prisoners, those earning less than the poverty line, members of Indian tribes, and hardship cases. If you are in the camp believing illegals pay their fair share in social security taxes and sales taxes, please read this (skip down two paragraphs.)
If you are an employer, here are your penalties:
If an employer does not offer health coverage, and at least one employee qualifies for a health tax credit, the employer must pay and additional non-deductible tax of $750 for all full-time employees. Applies to all employers with 50 or more employees.
If the employer requires a waiting period to enroll in coverage of 3-6- days, there is a $400 tax per employee ($600 if the period is 60 day or longer).
Be assured that all taxes supposedly not coming due until 2014 will be hiked by the time we get there, and we can count on all taxes hiking, probably annually. Read the full article at ATR
Think your premiums are going down?
“There’s no question premiums are still going to keep going up,” said Larry Levitt of the Kaiser Family Foundation, a research clearinghouse on the health care system. “There are pieces of reform that will hopefully keep them from going up as fast. But it would be miraculous if premiums actually went down relative to where they are today.”
The statistics Obama based his claims on come from two sources. In both cases, the caveats got left out.
Linked by Memorandum where you’ll find more on Tax Hikes and Premium Increases
Related and Background:
Medicare Doughnut Hole Gets $250 in new Health Care Bill. Big Dang Deal!