Skip to comments.The Unsung, But Massive Obamacare Sales Tax Increase That Is On the Way
Posted on 02/21/2013 5:45:00 PM PST by Lorianne
Today, Americas Health Insurance Plans (AHIP) President Karen Ignagni issued a press release in support of bipartisan legislation (H.R. 1370, S.1880) co-sponsored by Rep. Charles Boustany (R-LA) and Jim Matheson (D-UT) to repeal the Affordable Care Acts (ACA) health insurance tax. While much of the dialogue on healthcare reform centers on the federal mandate of health coverage for all Americans which many conservatives call the largest tax increase in U.S history less attention is being given to the massive sales tax increase on the purchase of health insurance also implicit within the legislation that will dramatically escalate costs for employers and consumers.
The Joint Committee on Taxation released a report to Committee of Ways and Means Chairman Dave Camp shortly after the Supreme Court ruling that recalculates the costs to insurers, consumers and businesses under the new plan. According to their report which does not include updated scores for the individual mandate, the employer mandate, or certain other revenue effects the tax increases that remain on the books will cost taxpayers more than $675 billion over the next ten years. Chief among these will be the sales tax on the purchase of health insurance, totaling $101.7 billion, and making it larger than all the other industry-specific taxes combined.
(Excerpt) Read more at forbes.com ...
IOW - A tax on a tax. Like in WA - you pay your license tab fee they they charge you a fee to pay for your tabs.
Since sales taxes are State matters, I assume you mean the feds are going to impose a federal sales tax.