STEPHANOPOULOS: You were against the individual mandate…

OBAMA: Yes.

STEPHANOPOULOS: …during the campaign. Under this mandate, the government is forcing people to spend money, fining you if you don’t

How is that not a tax?

OBAMA: Well, hold on a second, George. Here — here’s what’s happening. You and I are both paying $900, on average — our families — in higher premiums because of uncompensated care. Now what I’ve said is that if you can’t afford health insurance, you certainly shouldn’t be punished for that. That’s just piling on.

If, on the other hand, we’re giving tax credits, we’ve set up an exchange, you are now part of a big pool, we’ve driven down the costs, we’ve done everything we can and you actually can afford health insurance, but you’ve just decided, you know what, I want to take my chances. And then you get hit by a bus and you and I have to pay for the emergency room care, that’s…

STEPHANOPOULOS: That may be, but it’s still a tax increase.

OBAMA: No. That’s not true, George. The — for us to say that you’ve got to take a responsibility to get health insurance is absolutely not a tax increase. What it’s saying is, is that we’re not going to have other people carrying your burdens for you anymore than the fact that right now everybody in America, just about, has to get auto insurance. Nobody considers that a tax increase.

People say to themselves, that is a fair way to make sure that if you hit my car, that I’m not covering all the costs.

STEPHANOPOULOS: But it may be fair, it may be good public policy…

OBAMA: No, but — but, George, you — you can’t just make up that language and decide that that’s called a tax increase. Any…

STEPHANOPOULOS: Here’s the…

OBAMA: What — what — if I — if I say that right now your premiums are going to be going up by 5 or 8 or 10 percent next year and you say well, that’s not a tax increase; but, on the other hand, if I say that I don’t want to have to pay for you not carrying coverage even after I give you tax credits that make it affordable, then…

STEPHANOPOULOS: I — I don’t think I’m making it up. Merriam Webster’s Dictionary: Tax — “a charge, usually of money, imposed by authority on persons or property for public purposes.”

OBAMA: George, the fact that you looked up Merriam’s Dictionary, the definition of tax increase, indicates to me that you’re stretching a little bit right now. Otherwise, you wouldn’t have gone to the dictionary to check on the definition. I mean what…

STEPHANOPOULOS: Well, no, but…

OBAMA: …what you’re saying is…

STEPHANOPOULOS: I wanted to check for myself. But your critics say it is a tax increase.

OBAMA: My critics say everything is a tax increase. My critics say that I’m taking over every sector of the economy. You know that.

Look, we can have a legitimate debate about whether or not we’re going to have an individual mandate or not, but…

STEPHANOPOULOS: But you reject that it’s a tax increase?

OBAMA: I absolutely reject that notion.

With all due respect Mr. President you’re wrong… It is a tax… I says so right on page 29 of the Baucus bill itself:

Excise Tax. The consequence for not maintaining insurance would be an excise tax. If a taxpayer‘s MAGI is between 100-300 percent of FPL, the excise tax for failing to obtain coverage for an individual in a taxpayer unit (either as a taxpayer or an individual claimed as a dependent) is $750 per year. However, the maximum penalty for the taxpayer unit is $1,500. If a taxpayer‘s MAGI is above 300 percent of FPL the penalty for failing to obtain coverage for an individual in a taxpayer unit (either as a taxpayer or as an individual claimed as a dependent) is $950 year. However, the maximum penalty amount a family above 300 percent of FPL would pay is $3,800.

The Presidents contention is so ridiculous that even the AP is calling him out on it:

Memo to President Barack Obama: It’s a tax. Obama insisted this weekend on national television that requiring people to carry health insurance — and fining them if they don’t — isn’t the same thing as a tax increase. But the language of Democratic bills to revamp the nation’s health care system doesn’t quibble. Both the House bill and the Senate Finance Committee proposal clearly state that the fines would be a tax.

There’s no way around it, the individual mandate is a tax… and as David Rivkin Jr. and Lee Casey explain in a Wall Street Journal op-ed it’s an unconstitutional one.

Over all Governor Palin did quite well last night, she was relaxed, confident and showed tremendous grace under pressure.

I was disappointed in her answers on the economy though. Frankly I think she blew it. She didn’t do anything to differentiate the McCain campaign from Bush administration. She could have easily done that by talking about getting back to common sense monetary policy that favors strong dollar and reversing what the Wall Street Journal calls “the Bush Administration’s malign neglect of the dollar.”

That said I think it’s fair to say this wasn’t an interview it was an interrogation. It’s clear to me that Charlie Gibson was out to embarrass Gov. Palin and show her presumed ignorance from the get go.

It’s particularly striking when you compare the Gibson’s confrontational and condescending tone with the velvet gloves George Stephanopoulos used on Sen. Barack Obama.

Martin Sieff has a good analysis at UPI.com:

Issue of the Day
ABC’s Gibson grilled Palin hard, but it may backfire
By MARTIN SIEFF
Published: Sept. 12, 2008 at 11:47 AM

WASHINGTON, Sept. 12 (UPI) — There were no surprises, no knockout zingers, but also no bloopers Thursday night in Alaska Gov. Sarah Palin’s first TV interview since becoming the Republican vice presidential nominee.

Charles Gibson of ABC News was out for blood and inherently applied a double-standard compared with the kid gloves George Stephanopoulos used on Democratic presidential nominee Sen. Barack Obama of Illinois on Sunday night.

Gibson was out to embarrass Palin and expose her presumed ignorance from the word go. By contrast, when Obama referred to his “Muslim faith” on Sunday and did not correct himself, Stephanopoulos rushed in at once to help him and emphasize that the senator had really meant to say his Christian faith.

Allahpundit wonders “What little matter of domestic policy did Gibson conspicuously neglect to ask about?”

As an aside… Which “Bush Doctrine” Charlie?

Update: Ed Morrissey has a great analysis of Gibson’s interview. Including a look at the questions Gibson asked Obama three months ago and a link to a transcript of Thursday’s interview.

I think it’s safe to say the media isn’t even trying to fake impartiality anymore.

Update #2: Glenn Reynolds offers some good advice for politicians or anyone dealing a potentially hostile media in the New York Post… Bring your own Camera.

CHARLIE Gibson’s ABC interview with Republican veep candidate Sarah Palin produced a lot of complaints from Palin fans. There’s not much anyone in the campaign can do about journalists like Gibson misstating candidates’ “exact words,” but there is something that candidates – and anyone else interviewed by a possibly hostile media – can do to make sure that things get played straight in the editing process.

You just have to break the camera monopoly. Luckily, that’s become easy.