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'Lost in Taxation'

 

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The New York Times reports that the administration has flip-flopped, now on considering the federal insurance mandate a tax. "When Congress required most Americans to obtain health insurance or pay a penalty, Democrats denied that they were creating a new tax. But in court, the Obama administration and its allies now defend the requirement as an exercise of the government's 'power to lay and collect taxes.' And that power, they say, is even more sweeping than the federal power to regulate interstate commerce."

The Wall Street Journal outlines the new responsibilities and bureaucracy that Obamacare creates for the IRS. "National Taxpayer Advocate Nina Olson, who operates inside the IRS, highlighted the agency's new mission in her annual report to Congress last week. Look out below. She notes that the IRS is already 'greatly taxed'--pun intended?--'by the additional role it is playing in delivering social benefits and programs to the American public,' like tax credits for first-time homebuyers or purchasing electric cars. Yet with ObamaCare, the agency is now responsible for 'the most extensive social benefit program the IRS has been asked to implement in recent history.' And without 'sufficient funding' it won't be able to discharge these new duties."

Maine Representative Andre Cushing discusses the negative impact the health care overhaul has on small businesses. "We know that small business is the backbone of our economy and creates about 80 percent of all new jobs. With the persistently high unemployment rate, we're all counting on small businesses to put folks back to work. But thanks to ObamaCare, small companies will soon face a huge new burden when it comes to the use of IRS Form 1099, making it much less likely that they will pick up the hiring slack."

 
Lost in Taxation If it seems as if the tax code was conceived by graphic artist M.C. Escher, wait until you meet the new and not improved Internal Revenue Service created by ObamaCare. What, you're not already on a first-name basis with your local IRS agent? National Taxpayer Advocate Nina Olson, who operates inside the IRS, highlighted the agency's new mission in her annual report to Congress last week. Look out below. She notes that the IRS is already "greatly taxed"--pun intended?--"by the additional role it is playing in delivering social benefits and programs to the American public," like tax credits for first-time homebuyers or purchasing electric cars. Yet with ObamaCare, the agency is now responsible for "the most extensive social benefit program the IRS has been asked to implement in recent history." And without "sufficient funding" it won't be able to discharge these new duties.

As Massachusetts health 'reform' goes, so could go Obamacare
Robert J. Samuelson - Washington Post
If you want a preview of President Obama's health-care "reform," take a look at Massachusetts. In 2006, it enacted a "reform" that became a model for Obama. What's happened since isn't encouraging. The state did the easy part: expanding state-subsidized insurance coverage. It evaded the hard part: controlling costs and ensuring that spending improves people's health. Unfortunately, Obama has done the same. Like Obama, Massachusetts requires most individuals to have health insurance (the "individual mandate"). To aid middle-class families too well-off to qualify for Medicaid -- government insurance for the poor -- the state subsidizes insurance for people with incomes up to three times the federal poverty line (about $66,000 in 2008 for a family of four). Together, the mandate and subsidies have raised insurance coverage from 87.5 percent of the non-elderly population in 2006 to 95.2 percent in the fall of 2009, report Sharon Long and Karen Stockley of the Urban Institute.

Changing Stance, Administration Now Defends Insurance Mandate as a Tax
Robert Pear - New York Times
When Congress required most Americans to obtain health insurance or pay a penalty, Democrats denied that they were creating a new tax. But in court, the Obama administration and its allies now defend the requirement as an exercise of the government's "power to lay and collect taxes." And that power, they say, is even more sweeping than the federal power to regulate interstate commerce. Administration officials say the tax argument is a linchpin of their legal case in defense of the health care overhaul and its individual mandate, now being challenged in court by more than 20 states and several private organizations.

ObamaCare's huge new burden for small business
Rep. Andre Cushing, R-Hampde - Bangor Daily News
Last March, before the ObamaCare health legislation passed the Democratic Congress, we heard one of the most shocking statements ever made by a high-ranking federal official. Speaker of the House Nancy Pelosi told an audience, "We have to pass the health care bill to find out what's in it." It's hard to think of anything that could have been more appalling and frightening to the American people. Remember, this bill came to more than 2,400 pages and 400,000 words. It will transform one-sixth of the U.S. economy and personally affect every American. It will create more than 100 new federal agencies and impose massive taxation on the productive members of our society. It is one of the most far-reaching and nation-changing laws in our history. And Nancy Pelosi's attitude was, "Trust us."

US taxpayers soon to taste the bitter fruit of Obamacare
Floyd and Mary Beth Brown - San Francisco Examiner
Get ready for your life to change. The so-called benefits of Obamacare don't start until 2014, but the tax increases, misallocated resources and federal regulations start now. House Speaker Nancy Pelosi famously said the night of Obamacare's passage, "We have to pass the bill so that you can find out what is in it." The emerging picture is frightening. Obamacare dramatically alters the already overregulated health insurance market. The law creates a maze of mandates, federal directives, price controls, tax increases and subsidies.

Firms cancel health coverage
Kay Lazar - Boston Globe
The relentlessly rising cost of health insurance is prompting some small Massachusetts companies to drop coverage for their workers and encourage them to sign up for state-subsidized care instead, a trend that, some analysts say, could eventually weigh heavily on the state's already-stressed budget. Since April 1, the date many insurance contracts are renewed for small businesses, the owners of about 90 small companies terminated their insurance plans with Braintree-based broker Jeff Rich and indicated in a follow-up survey that they were relying on publicly-funded insurance for their employees.

US Congressional members sign on to repeal Obamacare
Christopher Collins - Examiner
When Obamacare was passed by the House, a CNN poll had revealed that 56 percent of the public disapproved of the law. In Paulding County, liberal democrats approved of the government's healthcare handout while Republicans disapproved. In less than a year since Obamacare's passage, a move to repeal the law has gained momentum in the US House of Representatives. On July 9, 2010, Congressman Steve King (R-IA) had announced that efforts to force the House of Representatives to vote on legislation providing for a 100% repeal of "Obamacare" continued to gain momentum, with the addition of the 109th signature.

Insurers Push Plans That Limit Choice of Doctor
Reed Abelson - New York Times
As the Obama administration begins to enact the new national health care law, the country's biggest insurers are promoting affordable plans with reduced premiums that require participants to use a narrower selection of doctors or hospitals. The plans, being tested in places like San Diego, New York and Chicago, are likely to appeal especially to small businesses that already provide insurance to their employees, but are concerned about the ever-spiraling cost of coverage. But large employers, as well, are starting to show some interest, and insurers and consultants expect that, over time, businesses of all sizes will gravitate toward these plans in an effort to cut costs.

Obamacare already showing major backlash
Stephen Borthwick - Examiner
There has never been any doubt that the healthcare reform pushed down the throats of America by Obama and his loyal sycophants in Congress would spark some backlash, but even the strongest opponents might be surprised at just how soon it is happening. Obamacare has not even taken effect yet, and already insurance companies, struggling to keep down premiums, are cutting off people's access to their own doctors. A New York Times report details the happening. Apparently, big insurance companies (who remain nameless, as usual) are pushing 'affordable' plans with lower premiums but a significantly reduced list of doctors and hospitals available to clients of the plan.

Abortion foes win a round in health overhaul
Ricardo Alonso-Zaldivar - Associated Press
Abortion foes have scored a victory and traditional allies of the Obama administration are grumbling about a decision to ban most abortion coverage in insurance pools for those unable to purchase health care on their own. The Catholic bishops "welcome this new policy," said Cardinal Daniel DiNardo, although he added the organization remains concerned that other provisions of President Barack Obama's health care overhaul law will promote abortion.

Cigna Jockeys for Position in Overhaul
Avery Johnson - Wall Street Journal
While he awaits regulators' draft of important new health-care rules this summer, Cigna Corp. Chief Executive David Cordani is looking for ways to benefit. Cigna mainly administers insurance policies for big businesses--an area little affected by the health-care overhaul. But Mr. Cordani hopes to sell more policies to individuals if the new health-care rules create an attractive-enough market. Insurance regulators are drafting rules that will effectively determine how lucrative that market will be by dictating how much leeway insurers have to calculate their "medical-loss ratio," or how much of premiums insurers use for medical care rather than administration.

Small companies in Massachusetts canceling health care coverage
Kim Priestap - Wizbang
So many of us predicted this that no one can say they weren't warned. Unfortunately, though, we will see the same thing happen after ObamaCare is implemented in 2014: The relentlessly rising cost of health insurance is prompting some small Massachusetts companies to drop coverage for their workers and encourage them to sign up for state-subsidized care instead, a trend that, some analysts say, could eventually weigh heavily on the state's already-stressed budget.

Tanning proprietor sounds off on health care tax
Some patrons may be sizzling over the new 10 percent health care tax on indoor tanning services, which is affecting business locally. "Business is definitely slower," said Sherri Turner, owner of U B Tan on Erie Road. "I'm down this year from last year, the new tax has hurt me -- business could be better." The Obama administration approved the tax in March as part of the Patient Protection and Affordable Care Act. The government expects the tax to bring in $2.7 billion in the next decade to help pay for the $940 billion federal health care overhaul.

Watchdog called in over safety fears at NHS trust
A London NHS hospital trust has been referred to the independent health regulator amid concerns over patient safety, staffing levels and equipment shortfalls, it has emerged. James Brokenshire, Conservative MP for Old Bexley and Sidcup wrote to the Care Quality Commission (CQC) outlining a list of issues at the South London Healthcare NHS Trust following representations from medical staff. He said: "I had a meeting with a number of senior clinicians from the trust three weeks ago raising concerns over clinical safety issues, particularly the availability of essential equipment and some staffing levels; the impact this was having and the fact matters were not being addressed."

Consultants worried about supplies at London NHS trust
Essential medical supplies have been lacking at one of London's NHS trusts while too many operations are being cancelled, senior clinicians have said. Staff at South London Healthcare Trust have been "raising concerns over clinical safety issues" and matters such as in adequate bed linen. Their local MP, James Brokenshire, has reported their fears to a regulator. The trust acknowledged problems but stressed it was "on an improvement journey" to make its services better.

Hispanic Democrats want health-care fix
Carrie Budoff Brown - Politico
A group of Democratic lawmakers wants to use the immigration reform debate to fix one of the most hotly contested aspects of the health care law -- provisions that bar immigrants from using new government programs to get coverage. The move by the Congressional Hispanic Caucus would add a contentious new element to an already monumental task -- passing a bill that puts 11 million illegal immigrants on a path to citizenship. But the lawmakers say they're merely following through on a pledge they made when the health care overhaul passed in March, and they expect the White House and Democratic leadership to do the same.

How to Care for 30 Million More Patients
R. Pete Vanderveen - Wall Street Journal
Many worry there won't be enough physicians to care for the estimated 30 million more patients who will be insured under the health law passed earlier this year. The Association of American Medical Colleges estimates a shortage that could reach 150,000 doctors by 2025. Pharmacists, who number almost 300,000 today, could help fill the gap. The men and women who complete a four-year graduate professional program are trained to master complex medications--including more than 10,000 prescription drugs and dozens of new, more sophisticated ones approved annually by the Food and Drug Administration.

Bypassing Senate hearings on health care pick a bad idea
Perception sometimes can be as important as substance, particularly when it comes to politics and our nation's leaders. President Barack Obama bypassed the Senate and appointed Dr. Donald Berwick, a Harvard professor and patient care specialist, to run Medicare and Medicaid. By doing so, he has implied that he not only wants to circumvent the process for naming important department heads, but will do anything to get his way. The president may have the best intentions here, but he has created the perception that he's trying to hide something from the American people because he knows they won't like it if it's made public.

Justice Department charges 94 people with health-care fraud
Jerry Markon - Washington Post
The Justice Department stepped up its crackdown on Medicare and Medicaid cheats Friday, announcing charges against 94 people in what authorities called the largest health-care fraud sting in U.S. history. Federal agents fanned out across five states to arrest defendants accused of bilking the Medicare system out of more than $251 million through false claims for services that were medically unnecessary or never provided. Among those charged, officials said, are doctors and health-care company owners and executives. Thirty-six of the defendants had been arrested as of Friday afternoon.


Latest Polling

Rasmussen Reports
  July 12, 2010
  
53 percent of voters favor repealing Obamacare

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