Eisner Legislative Alert (Summary of Healthcare Legislation)

Eisner Accountants and Advisors ^ | 3/30/2010 | Eisner LLP

[bigbob]

President Obama has signed into law additional historic health care reform legislation, H.R. 4872, the Health Care and Education Reconciliation Act; this legislation was passed by the Senate and House on March 25, 2010.

Previously the President signed the Patient Protection and Affordable Care Act, which incorporated H.R. 3590 passed by the Senate on December 24, 2009 and by the House on March 21, 2010 (see Eisner Legislative Alert dated March 25, 2010).

The new legislation reconciles the earlier legislation with most of the health care changes desired by the House and also ends governmental subsidies to banks in connection with federal student loan programs, shifting lending responsibilities to the federal government.

The new legislation does not remove key provisions of the earlier legislation, including provisions to require health care coverage, the creation of exchanges for the purchase of health insurance coverage, tax credits for individuals and businesses to reduce the cost of health insurance premiums, excise taxes on health insurers offering high cost plans and certain health insurance providers, and levies on manufacturers and importers of drugs and certain medical devices. Nor does it change the earlier legislation regarding new limits on contributions to certain health benefit plans, a common definition of qualifying medical expenses, and an increase in the AGI percentage for purposes of individuals deducting medical expenses. However, the new legislation adds a 3.8% tax on investment income and alters the terms of certain levies in the earlier legislation. Most major tax and fee provisions of both the earlier and new legislation become effective in 2011 or later, with certain provisions such as guaranteed issuance and health care coverage for children effective in 2010. Please note that:

* Attached to this Alert is an updated chart comparing selected provisions of H.R. 3590 which was earlier signed into law on March 23, 2010, and H.R. 4872 as amended by the Senate and House and now also signed by the President.

* We expect to issue further Alerts as appropriate to focus on specific measures in these laws which may affect our clients and friends.

[bigbob]

The reason I am posting this is the chart that is referenced in the email alert above. Here is the direct URL to download this one-page PDF file summary of the tax provisions of the healthcare legislation:

http://tinyurl.com/yhyqly4

This chart is helpful in understanding the taxes and other revenue that will be imposed by the original bill and the so-called "fixes" reconciliation bill. The chart shows each source of "revenue", how much the CBO think it will throw down the rathole over a 10 year period, and when it will kick in. Of course the total amount is FAR less than the cost of ObamaCare, not that it makes any difference to the crooks who voted for it.

Information is the antidote to fear and the first step toward repeal.

[parisa]

We will know in our gut what this bill IS and what it is meant to do and there leaves no option but to repeal or starve the beast.

[lewislynn]

To post a link: < a href="urlhere" > Here < /A > The only space is between the a and the href.

Here is the direct URL to download this one-page PDF file summary of the tax provisions of the healthcare legislation:

Looks like:
< a href="http://tinyurl.com/yhyqly4" >Here is the direct URL to download this one-page PDF file summary of the tax provisions of the healthcare legislation: < /A >
without the spaces

[maine-iac7]

I, in my ignorance, don't understand how he can keep adding to this bill without the changes going through the senate and house?

With this modus operandi, they can pass any law - and then change it, add to it, take away, at will - with the stroke of a pen?

doesn't that render the whole process of legislation moot? What am I missing?

I increasingly hear a Robert Frost refrain flitting through my head: "Stop the world, I want to get off..."

[bigbob]

Thanks, I’m html-impaired ;-)

Is that covered by OC?

[Madame Dufarge]

Here's one that jumped out at me from the chart:

"Corporate Information Reporting
Require firms that make payments of more than $600 to any corporation (in exchange for property or services) to file form 1099 with the IRS and provider."

They're actually claiming $17.1 billion in revenue flowing from this.

So I guess their assumption is that corporations all over the country have been under-reporting their income simply because their customers haven't issued 1099s to them.

No mention about the cost to small businesses who now have to issue these 1099s or face penalties.

I suppose it makes sense if you view capitalism as your enemy.

[Myrddin]

The 1099s will have to be put in database form. If not, the pile of paper will look like a phone book for even small corporations. The additional workload at the IRS will explode. Total stupidity.

[Emile]

Bump for later research