Anyone who has read the Patient Protection and Affordable Care Act (PPACA) knows just how bad this bill really is.
Both Democrats and Republicans know it.
So why are both parties balking at repealing and replacing the bill?
It’s simple. Addiction.
PPACA, commonly called Obamacare, is a massive tax bill generating revenue for the federal government to spend and/or borrow against. All the taxes haven’t kicked in yet.
For instance, a tax projected to impact employees with generous healthcare benefits, the ‘Cadillac Tax’, was frozen by President Barack Obama.
Another tax is positively inhumane, as a breakdown at Americans for Tax Reform explains:
“Chronic Care Tax:
This income tax increase directly targets middle class Americans with high medical bills. The tax hits 10 million households every year. Before Obamacare, Americans facing high medical expenses were allowed an income tax deduction to the extent that those expenses exceeded 7.5 percent of adjusted gross income (AGI). Obamacare now imposes a threshold of 10 percent of AGI. Therefore, Obamacare not only makes it more difficult to claim this deduction, it widens the net of taxable income. This income tax increase will cost Americans $40 billion over the next ten years.”
That tax will gradually affect almost half of all Americans’ policies:
“26 percent of employer provided plans by 2020 and 42 percent of employer provided plans by 2028.”
Besides taxes on prescriptions—those taxes will be passed along to consumers—the law also upends existing tax law that works for many US income taxpayers (not to be confused with those who only pay payroll taxes):
“Codification of the “economic substance doctrine”:
This provision allows the IRS to disallow completely legal tax deductions and other legal tax-minimizing plans just because the IRS deems that the action lacks “substance” and is merely intended to reduce taxes owed. This costs taxpayers $5.8 billion over ten years.”
Only an idiot doesn’t take all of his or her legal tax deductions, but that didn’t matter to Democrats who passed this bill.
The employer mandate will also have a whopping impact, raising “taxes on businesses by $166.9 billion over the ten years.” That mandate will hit small businesses in a very negative manner.
Where does the addiction come in?
Republicans like “revenue” just as much as Democrats. There are few proponents of constitutional government in office on either side of the aisle. Both parties are addicted to spending, and tax hikes hook members of Congress just as effectively as crack hooks a user.
In passing PPACA, Democrats knew someone would have to pay and that “someone” will be US income tax payers and workers.
Besides the taxes, it is indisputable that PPACA will change the delivery of services from your healthcare providers. A healthcare provider will be forced to abide by healthcare criteria set by the federal bureaucracy in order for payment to be issued.
(Commentary by Kay B. Day/Feb. 27, 2017)