{"id":2735,"date":"2009-09-16T17:07:39","date_gmt":"2009-09-16T21:07:39","guid":{"rendered":"http:\/\/www.jasetaro.com\/blog\/?p=2735"},"modified":"2009-09-16T17:34:45","modified_gmt":"2009-09-16T21:34:45","slug":"the-tax-man-cometh-senate-health-reform-bill-includes-many-tax-hikes","status":"publish","type":"post","link":"https:\/\/www.jasetaro.com\/blog\/2009\/09\/16\/the-tax-man-cometh-senate-health-reform-bill-includes-many-tax-hikes\/","title":{"rendered":"The Tax Man Cometh: Senate Health Reform Bill Includes Many Tax Hikes"},"content":{"rendered":"<p>The folks at Americans for Tax Reform have examined the Senate Finance Committee <a href=\"http:\/\/online.wsj.com\/article\/SB125310546537515699.html\" target=\"_blank\">health care reform bill <\/a>announced today and come up with a list of all the <a href=\"http:\/\/www.atr.org\/alert-list-all-tax-hikesbr-baucus-a3865\" target=\"_blank\">tax hikes<\/a> in the bill:<\/p>\n<ul>\n<li><strong>Individual Mandate Tax<\/strong>.\u00a0 If you don\u2019t sign up for health insurance, you will have to pay a tax in the following range:<\/li>\n<li><strong>Various industry tax grabs based on market share.<\/strong> $2.3 billion PhRMA; $6 billion health insurance providers; $750 million clinical labs; $4 billion medical device manufacturers:<br \/>\n<table border=\"1\" cellspacing=\"1\" cellpadding=\"1\" width=\"200\" align=\"center\">\n<tbody>\n<tr>\n<td><\/td>\n<td>Single<\/td>\n<td>Family<\/td>\n<\/tr>\n<tr>\n<td>100-300% FPL<\/td>\n<td>$750<\/td>\n<td>$1500<\/td>\n<\/tr>\n<tr>\n<td>300% FPL &lt;<\/td>\n<td>$900<\/td>\n<td>$3800<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/li>\n<li><strong>Employer Mandate Tax<\/strong>.\u00a0 $400 per employee if health coverage is not offered.\u00a0 Note: this is a huge incentive to drop coverage, as $400 is much less than the average plan cost of $11,000 for families or $5000 for singles (Source: AHIP)<\/li>\n<li><strong>Corporate 1099-MISC Information Reporting<\/strong>.  Currently, only non-corporations providing property or services for a business must be issued at 1099-MISC.\u00a0 This would expand the requirement to corporations doing business with other businesses.\u00a0 The amount of reporting needed for an average business would be huge.\u00a0 Paves the way for full information reporting to the IRS.<\/li>\n<li><strong>Increase Non-Qualified HSA Distribution Penalty from 10% to 20%<\/strong>.\u00a0 This makes HSAs less attractive, and paves the way for HSA pre-verification<\/li>\n<\/ul>\n<ul>\n<li><strong>Backdoor Death of HSAs<\/strong>.\u00a0 By requiring that all plans (besides the few that are grandfathered) provided first-dollar coverage for most services, there would be no HSA-qualifying plans available from the Massachusetts-like exchanges<\/li>\n<\/ul>\n<ul>\n<li><strong>Excise Tax on High-Cost Health Plans<\/strong>. New 35% excise tax on health insurance plans to the extent they exceed $21000 in cost ($8000 single)<\/li>\n<\/ul>\n<ul>\n<li><strong>Report Employer Health Spending on W-2<\/strong>. This is clearly a setup for the easy individual taxation of employer-provided health insurance down the road.<\/li>\n<\/ul>\n<ul>\n<li><strong>Cap Flex-Spending Account (FSA) Contributions at $2000<\/strong>. Currently unlimited.<\/li>\n<\/ul>\n<ul>\n<li><strong>Eliminate tax deduction for employer-provided retirement Rx drug coverage in coordination with Medicare Part D<\/strong><\/li>\n<\/ul>\n<ul>\n<li><strong>Medicine Cabinet Tax<\/strong>.\u00a0 Americans would no longer be able to purchase over-the-counter medicines with their FSA, HSA, or HRA<\/li>\n<\/ul>\n<p>Ouch, kiss your health savings account goodbye.<\/p>\n<p><strong>Related<\/strong><\/p>\n<ul>\n<li><a href=\"http:\/\/www.politico.com\/news\/stories\/0909\/27231.html\" target=\"_blank\">Jay Rockefeller rips Max Baucus bill<\/a> &#8211; Politico<\/li>\n<li><a href=\"http:\/\/hotair.com\/archives\/2009\/09\/16\/snowe-bails-on-compromise-obamacare-bill\/\" target=\"_blank\">Snowe bails on \u201ccompromise\u201d ObamaCare bill<\/a> &#8211; Hot Air<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>The folks at Americans for Tax Reform have examined the Senate Finance Committee health care reform bill announced today and come up with a list of all the tax hikes in the bill: Individual Mandate Tax.\u00a0 If you don\u2019t sign up for health insurance, you will have to pay a tax in the following range: [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","advanced_seo_description":"","jetpack_seo_html_title":"","jetpack_seo_noindex":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"jetpack_post_was_ever_published":false},"categories":[43,7],"tags":[781,790,185,825,1365],"class_list":["post-2735","post","type-post","status-publish","format-standard","category-health-care","category-politics","tag-health-care-reform","tag-max-baucus","tag-senate","tag-senate-finance-committee","tag-taxes","entry"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/pfpI7-I7","jetpack_sharing_enabled":true,"jetpack-related-posts":[{"id":2754,"url":"https:\/\/www.jasetaro.com\/blog\/2009\/09\/22\/yes-mr-president-the-individual-mandate-is-a-tax\/","url_meta":{"origin":2735,"position":0},"title":"Yes, Mr. President the Individual Mandate Is A Tax","author":"Jeff","date":"September 22, 2009","format":false,"excerpt":"I don't know about you, but I didn't watch Pres. Obama 's Sunday Talk show orgy... I've skimmed through the transcripts and frankly I don't think I missed much. He really didn't say anything new, he simply repeated the same arguments he's been making for months. About the only interesting\u2026","rel":"","context":"In &quot;Health Care&quot;","block_context":{"text":"Health Care","link":"https:\/\/www.jasetaro.com\/blog\/category\/health-care\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2858,"url":"https:\/\/www.jasetaro.com\/blog\/2009\/10\/13\/senate-finance-committee-approves-health-care-reform-bill\/","url_meta":{"origin":2735,"position":1},"title":"Senate Finance Committee Approves Health Care Reform Bill","author":"Jeff","date":"October 13, 2009","format":false,"excerpt":"The Senate Finance Committee voted largely along party lines to approve committee chairman Max Baucus's Health Care Reform Bill earlier today: A key U.S. Senate committee endorsed a sweeping healthcare overhaul on Tuesday, gaining the support of an influential Republican and delivering President Barack Obama a victory on his top\u2026","rel":"","context":"In &quot;Health Care&quot;","block_context":{"text":"Health Care","link":"https:\/\/www.jasetaro.com\/blog\/category\/health-care\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2550,"url":"https:\/\/www.jasetaro.com\/blog\/2009\/07\/28\/is-the-public-option-dead\/","url_meta":{"origin":2735,"position":2},"title":"Is the Public Option Dead?","author":"Jeff","date":"July 28, 2009","format":false,"excerpt":"I'm hearing rumblings from various sources that the Democrats so called Public Health Insurance option is dead in the the Senate... The Associated Press is reporting that a bipartisan group of Senators is close to a compromise agreement that would eliminate the employer mandate and the public option, two of\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/www.jasetaro.com\/blog\/category\/economy\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2833,"url":"https:\/\/www.jasetaro.com\/blog\/2009\/10\/07\/harry-reid-likely-to-make-entire-health-bill-an-amendment-to-unrelated-tax-bill-that-house-passed-in-march\/","url_meta":{"origin":2735,"position":3},"title":"Harry Reid &#8216;Likely&#8217; to Make Entire Health Bill an Amendment to Unrelated Tax Bill That House Passed in March","author":"Jeff","date":"October 7, 2009","format":false,"excerpt":"CNSNews.com is reporting that Senate Majority Leader Harry is 'likely' to use a tax bill passed by the House in March as shell for enacting the Senate health care bill: A senior aide to Senate Majority Leader Harry Reid (D-Nev.) told CNSNews.com that it is \u201clikely\u201d that Reid will use\u2026","rel":"","context":"In &quot;Health Care&quot;","block_context":{"text":"Health Care","link":"https:\/\/www.jasetaro.com\/blog\/category\/health-care\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":3681,"url":"https:\/\/www.jasetaro.com\/blog\/2010\/11\/05\/priceless-aarp-hikes-employees-insurance-costs-cites-health-care-reform-as-cause\/","url_meta":{"origin":2735,"position":4},"title":"Priceless: AARP Hikes Employees Insurance Costs; Cites Health Care Reform as Cause","author":"Jeff","date":"November 5, 2010","format":false,"excerpt":"Remember when the AARP jumped on the Obamacare bandwagon? Well it's time for them to pay the piper... The seniors' lobby has sent an e-mail to its employees explaining their insurance costs will rise partly as a result of the law they endorsed: WASHINGTON \u2013 AARP's endorsement helped secure passage\u2026","rel":"","context":"In &quot;Health Care&quot;","block_context":{"text":"Health Care","link":"https:\/\/www.jasetaro.com\/blog\/category\/health-care\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":2769,"url":"https:\/\/www.jasetaro.com\/blog\/2009\/09\/25\/flout-the-individual-mandate-penalty-and-go-to-jail\/","url_meta":{"origin":2735,"position":5},"title":"Flout the Individual Mandate Penalty and Go to Jail?","author":"Jeff","date":"September 25, 2009","format":false,"excerpt":"I wonder if President Obama still thinks the Individual Mandate provisions of the Health Care Reform bill aren't a tax: Americans who fail to pay the penalty for not buying insurance would face\u00a0legal action from the Internal Revenue Service, according to the Joint Committee on Taxation. The remarks Thursday from\u00a0the\u2026","rel":"","context":"In &quot;Health Care&quot;","block_context":{"text":"Health Care","link":"https:\/\/www.jasetaro.com\/blog\/category\/health-care\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/posts\/2735","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/comments?post=2735"}],"version-history":[{"count":0,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/posts\/2735\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/media?parent=2735"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/categories?post=2735"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.jasetaro.com\/blog\/wp-json\/wp\/v2\/tags?post=2735"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}