Affordable Care Act Taxes ALL People & Makes Health Care Decisions
“You have to pass Obamacare to find out what’s in Obamacare,” House Speaker Nancy Pelosi joyfully said to the people, in her best effort to promote socialized medicine. And of the things we’re finding out, now that its been passed & is the Affordable Care Act is nothing more than a shell for tax increases & a financial attack on medical providers.
The Internal Revenue Service (IRS) details the taxes and credits here. Consider a few that will affect you, and all taxpayers as the bill is further implemented.
The nationalized act establishes a review organization at the federal level, called the “Patient-Centered Outcomes Research Trust Fund,” which monetizes a new federal medical review institute.
Per the IRS site:
The Affordable Care Act establishes the Patient-Centered Outcomes Research Institute. Funded by the Patient-Centered Outcomes Research Trust Fund, the institute will assist patients (the people), clinicians (doctors), purchasers (employers) and policy-makers (insurance companies) in making informed health decisions by advancing clinical effectiveness research.
The trust fund will be funded in part by fees paid by issuers of certain health insurance policies and sponsors of certain self-insured health plans.
As stated, this institute is a federal medical review board. There is a mandate pushing every single employer’s insurance company to fund the review board, and the new federal agency will then ‘evaluate procedures and recommend changes” effecting our health care decisions, and effecting cost & health care coverage.
This organization is the “death panel” that was being talked about when the bill was passed. So, what other taxes are there on health care insurance companies which will then effect cost & coverage?
The regulation issued by the IRS states this.
Under section 4376(a), the fee is two dollars (one dollar for plan years ending before October 1, 2013) multiplied by the average number of lives covered under the plan. Under section 4376(d), for plan years ending on or after October 1, 2014, the fee is increased based on increases in the projected per capita amount of National Health Expenditures.
Each and every person who is insured by a policy will be charged two dollars and that will go up as costs increase.
Right now, people are saying, “wait this is a tax on the health insurance companies not the people.” As has been established by mere economic theory, businesses do not pay taxes, consumers do. By many estimates the number of uninsured is about 50 million people, which means that 250 million Americans pay for insurance and this becomes a 500 million dollar tax increase just in the first year of the act.
This tax will eventually effect the health care options of every American, but the hits keep coming. Let’s look at the Pharmaceutical industry they as an industry will be charged and even more staggering figure.
The cost of a new drug for a patient is already restrictive and many group prescription plans do not have the newest drugs on their formulary. Most people can hardly afford the newest drugs. The ACA adds a substantial tax to this industry. Here for the official regulation issued by the IRS.
Section 9008(b) provides rules for determining the amount of the annual fee for each covered entity.
Section 9008(b)(1)requires the applicable amount for each year to be allocated, using a specified formula, among covered entities with aggregate branded prescription drug sales of over $5 million to specified government programs or pursuant to coverage under such programs.
Under section 9008(b)(4), the aggregate fee amount each year for all covered entities (referred to as the applicable amount) is $2.5 billion for fee year 2011; $2.8 billion for fee years 2012 and 2013; $3 billion for fee years 2014 through 2016; $4 billion for fee year 2017; $4.1 billion for fee year 2018; and $2.8 billion for fee year 2019 and thereafter.
Section 9008(e)(4) provides that the specified government programs are the Medicare Part B program, the Medicare Part D program, the Medicaid program, any program under which branded prescription drugs are procured by the Department of Veterans Affairs, any program under which branded prescription drugs are procured by the Department of Defense, and the TRICARE retail pharmacy program (collectively, the Programs).
Does this sound like it would provide incentive for these companies to produce new innovative medications? For every new medication a company produces they are being taxed. There is more.
There is the Net Investment Income Tax, which is another backdoor tax increase nobody was told about when the bill was rammed through on a poor procedural policy. This is a 3.8 % tax increase on anyone making over 200,000 dollars a year & has net investment income over 50,000 dollars. In essence, this is a new tax created in a supposed health insurance reform bill, even though one has nothing to do with the other.
There are more but you can read for yourself at the link provided above. Just understand that the Senate and House voted to raise taxes on the people and did it using a bill they passed to reportedly assist the people who do not have insurance. With that in mind how exactly does the government mandating that everyone buy insurance help the people in this country who can not afford it in the first place?
The people will not be able to afford the tax imposed for not having insurance either. This bill helped no one but the big spenders in Washington.
Do you want to trust these men and women with the job of protecting your life? The second Amendment is now being debated in the halls of Washington. Just look what they did in a health insurance bill and you will know they can not be trusted.
Source: CRO
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