A current article at Forbes Magazine highlights the poorly understood new taxes, 21 of them that accompany Obamacare. The largest tax is a sales tax for simply purchasing the now Federally mandated and enforced healthcare insurance, adding further burden to individuals and businesses during an economic recession. And most remarkable, the “tax is far greater than the minimum penalty for those who choose not to buy health insurance – further incentivizing young, healthy people to forgo purchasing insurance until they need medical care.”
When Supreme Court Chief Justice John Roberts decided to help Obama and the Democrats pass Obamacare by allowing the Federal Government to enforce the legislation as a tax rather than forcing Americans to purchase healthcare insurance, he was either attempting to help the Conservative cause of reducing taxes and government control by making taxes so burdensome that reform would be unavoidable and necessary, or he was simply helping the Federal Government grow in leviathan like size and control over the lives of the American People, not unlike the conditions that precipitated the very origins of the Republic. Time will tell.
Today, America’s Health Insurance Plans (AHIP) President Karen Ignagni issued a press release in support of bipartisan legislation (H.R. 1370, S.1880) co-sponsored by Rep. Charles Boustany (R-LA) and Jim Matheson (D-UT) to repeal the Affordable Care Act’s (ACA) health insurance tax. While much of the dialogue on healthcare reform centers on the federal mandate of health coverage for all Americans – which many conservatives call the largest tax increase in U.S history – less attention is being given to the massive sales tax increase on the purchase of health insurance also implicit within the legislation that will dramatically escalate costs for employers and consumers.
In 2014, Obamacare will take effect, with many of the changes set to roll out over the next six months. The U.S Supreme Court narrowly upheld the legislation in a 5-4 ruling in June of last year, with Chief Justice John Roberts controversially justifying his affirmative decision by claiming that the federal mandate is a form of a federal tax, which the government is within its rights to enact. Indeed, there are a number of new taxes that the ACA will bring- twenty one to be exact- but the sales tax on the purchase of health insurance is by far the largest. Read more….