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  • Morning Bell: The Health Care Taxapalooza

    Throughout his campaign, President Barack Obama repeatedly promised the American people: “If you’re a family that’s making $250,000 a year or less you will see no increase in your taxes. Not your income tax, not your payroll tax, not your personal gains tax, not any of your taxes.”  Just 15 days into office, President Obama signed a bill expanding Medicaid eligibility that was paid for with a 156% tax hike on tobacco. Since slightly more than half of today’s smokers (53%) earn less than $36,000 per year, Obama’s first effort at expanding government’s role in health care also became his first broken promise. But that first Medicaid expansion was minor league compared to the estimated $1.5 trillion health care plan Congress is considering now.

    And how does Congress plan on paying for this $1.5 trillion in new spending? Tax hikes. Some of these tax hikes even conform to Obama’s promise. They only punish our most productive workers and investors. Proposed tax hikes in this category include: 1) capping the value of itemized deductions, including gifts to charities; 2) a 3% surtax on households earning more than $250,000; and 3) a millionaires tax.

    But the left is beginning to figure out that you can only squeeze so much revenue from class warfare taxation. So Congress is also considering a slew of other taxes that will, again, force Obama to break his not tax hike promise. These include: 1) a tax on soda; 2) a tax on beer; 3) an increase in employer and employee payroll taxes; 4) a flat tax on health insurance companies; 5) broadening the Medicare tax on investment income; 6) an employer mandate; and 7) a value-added tax on everything but food, housing, and Medicare. And we’re sure we missed some. The left sure can be creative when they are desperate to raise revenue.

    What is definitely not being considered by Congress are any measures to reduce overall health care spending. President Obama recently told the press: “And I’ve said very clearly, if any bill arrives from Congress that is not controlling costs, that’s not a bill I can support. It’s going to have to control costs. It’s going to have to be paid for.” But as Congressional Budget Office Director Douglas Elmendorf told the Senate this week, nothing in their current health care proposals will actually reduce health care costs. Instead, Elmendorf explained, the left’s health care plan only “puts an additional long-term burden on top of an already unsustainable path.” Elmendorf then suggested that if Congress really wanted to control costs, they would have to reform Medicare.

    Our economy is already having a difficult time recovering under Obama’s current policies. Tacking on another $1.5 trillion tax burden, no matter how you structure it, isn’t going to help.

    Quick Hits:

    • Al Qaeda’s North Africa affiliate has carried out a string of killings, bombings, and other lethal attacks that have raised fears that the terrorist group may be taking a deadlier turn.
    • After today, big banks and other big institutions plan to stop accepting IOUs issued by the State of California.
    • To close their budget gap, California is considering ending services to their 2.7 million illegal residents, which state officials estimate would save between $4 billion and $6 billion in costs.
    • Honduran business leaders are turning to Washington lobbyists to convince Congress that it should support rather than oppose the removal of President Manuel Zelaya from office.
    • Senate Democrats have punted climate change deeper into the fall, a delay that underscores the steep climb the White House faces in convincing Congress — and the world — to dramatically slash greenhouse gas emissions.
    Posted in Ongoing Priorities [slideshow_deploy]

    29 Responses to Morning Bell: The Health Care Taxapalooza

    1. Jacob Feldman, Washi says:

      Obama has a string of broken promises when it comes to his no tax on less than $250K pledge. Even the liberal media is starting to catch on.

    2. Richard Cancemi, Arl says:

      Obama's Administration and an All-Star Cast of Democratic Liberal-Socialists are starring in the new American play titled: "FIASCO"!

      Price of admission? Trillions of Dollars!

    3. ken graff, nj says:

      Let's see,1.5 trillion to cover 16 million people,now if we can put private insurance companys out of business,how much will it cost to insure 300,000,000 people? Somebody do the math,my calculater dosen't go that high!

    4. Steve, Michigan says:

      My suggestion is that the government tax 100% of all income, then redistribute it to the most worthy individuals. That way none of us (at least those of us who are public spirited) will have to work and we can focus our energies on creating Utopia! Health care would be totally free! Greed would be a thing of the past! Food and shelter would be provided for all! Vacations would be included! Disney World would be free! Think of all the retirement money we would save, since retirement would be unnecessary! The health care savings would be immense, as work induced stress was eliminated! We could create autonomous collectives! Carbon emissions would be a fraction of what they are now, as we idled all the evil profit mongering corporations! Everyone would feel good about themselves, as there would be no need for evil spirit killing competition! No more workplace injuries! Gas prices would be zero$/gallon, as a government provided benefit! Plus, the tax would be inherently fair as a flat tax.

      Hmmm…Why haven't we done this before?

    5. Milton Humphreys, Th says:

      Thanks for explaining the tax increase planned under the guise of controlling costs.regardless of what congress members or Pres. Obama says,this crowd has no expertise in controlling cost of anything. A positive recommendation would be to use experts from the private sector that know how and have mastered the concepts of Lean Manufacturing to reduce costs and improve efficiency in a wide range of industries.I speak with authority as one professional that has done that in 3 different industries, Building Products,Carpet and Furniture.Please continue to oppose the government's plans which will destroy the best Healthcare System in the world and invite positive private solutions.

      Thank you

      Milton Humphreys

    6. Steve, Michigan says:

      Actually, this disaster will expose the Statist's dreamworld like half measures may not have. Maybe some of the star struck electorate will begin to see what happens when we allow our wishful thinking to overcome reality.

    7. A. Terranova, Ormond says:

      As many of you have probably discovered by now, the Obama administration is all about power and control and not about true reform. Reform is just a guise or a means to an end; that end being the use (or misuse) of power to totally control us. Little by little we are being squeezed by Big Brother – our new savior-in-chief. This is the new age of perversion when all things right become all things wrong; it happens through a seemingly innocent set of questions,assumptions or circumstances which, with distortions of the truth, become accepted axioms without the benefit of TIME TESTED TRUTHS. This is just one reason Mr. Obama et.al must have compliance quickly. If we stop, think, reason and dialogue, then he loses ground and the argument. Next it will be religion because it is already happening. Secular humanism is the name of the Obama game plan because if he can (through legal means) wipe out our religious belief system, he can cleverly insert himself into the position of being god: all things to all people. Watch out.

    8. Christopher Popham S says:

      Well, California is finally waking up. After being

      gouged by illegal immigration for so many years

      at a cost of tens of billions of dollars; now they

      are considering cutting off benefits to illegals?

      Too little, too late California. Good luck.

      If California goes down, it will drag down the rest of the nation with it. With all due respect,

      I have been predicting this scenario for 18 months.

    9. Robert T. Davis says:

      The Obama administration is already known as the most completely dishonest adm. in our history. Guess that comes with the Chicago Mafia Democratic machine politics but man did he make fools of lots pf voters!! He will continue to drop like a lead balloon in the polls as more Americans see the disman economy he lied about and his total incompentency on the economy. He was not even smart enough to put smart people in office to help with the economy turning to a bureaucrat from the New York Fed as Treasure Sec. What a disaster. If anyone should have known about Barney Frank and Chris Dodds disaster coming it was the New York Fed. Another incompenetnt and then we wonder why the economy is terrible with these yo yos in charge?? Sad day for America. I hope Romney is getting his running shoes ready. We need a successful businessman after these total losers from the adademic and government sector have fallen on their faces.

    10. Mary N. Lodi, WI says:

      If this new health care plan is so great it would only stand to reason that president, members of the House and Senate also be forced to "join in


      Where will folks from other countries go for their health care when options have run out in their own countries?

      This is truly another nail in the coffin for this country. In fact, the only business that will thrive with Obama Care might well be the morticians.

    11. Dennis A. Social Cir says:

      These new taxes are just the beginning of what obama and the dems have planned. We have not seen the amount he is going to want to pay for his "wonderful" plans. Our great grandchildren will end up with the majority of the cost, that is if this country is still aroud. I personally think we will no longer exist, but will be "ruled" by obama as new country or under the authority of a foreign country.

      Carter was just a small drop in the bucket to what oabam is doing, and we though he was a complete idiot and still is. Just wait untill the interest rate goes to 20% on a mortgage, cars are 30% and we pay taxes on money we have never seen or earned. I really think he, the "guvernment" will dole out only a small amount of the money we earn as tax payers and keep the rest to pay for his so called needed programs. Helat care will be for only the very young or rich, the older people will be put on the back burner, as they will no longer be considered a productive part of society. I know some may well think this is a good idea, but what will happen to you in time, you will be in the age group and then considered expendable. DNR, DO NOT RESUCATE, REPLACE IS CHEAPER.

    12. Jake,LHC says:

      obama has overdrawn his account with his incompetentance and LIES. As the leader the NO-NO-ACCOUNTIBILITY democrat party; with schummmmmmmmmmer the banking scandal leader, reid-peloski the housing, energy scandal, obama,dodd,frank,rambo the vulgar the freddie-fannie housing scandal its has come to the attention of WE THE PEOPLE that that none of the above are trust worthy are all cut off from any more funds. The NO-NO-ACCOUNTIBILITY democrat party will be offically disbanded in Nov 2010

    13. pansylu, portland or says:

      Gun Owners Watch Out

      Gun Confiscation is Beginning–Senate Bill SB-2099

      And it starts with a tax.

      Could someone from heritage please read this and look into it.

      A well armed society, is a polite society.

      the 2nd amendment is to ensure that the goverment is scared of the people, not the other way around.

      When the people become scared of the government, we will see the beginning of the end of all freedoms.

      Concerning the Blair-Holt proposed legislation: Senate Bill SB-2099

      will require us to put on our 2009 1040 federal tax form all guns that

      you have or own. It may require fingerprints and a tax of $50 per gun.

      In November, our lying president promised he was not going after our

      Second Amendment rights. This bill was introduced on Feb. 24. This bill

      will become public knowledge 30 days after it is voted into law. This is

      an amendment to the Internal Revenue Act of 1986. This means that the

      Finance Committee can pass this without the Senate voting on it at all.

      The full text of the proposed amendment is on the U.S. Senate homepage,
      http://www.senate.gov// You can find the bill by doing a search by the

      bill number, SB-2099.

      You know who to call; I strongly suggest you do. Please send a copy of

      this e-mail to every gun owner you know.


      Congress is now starting on the firearms confiscation bill. If it

      passes, gun owners will become criminals if you don't fully comply.

      It has started.

      Very Important for you to be aware of a new bill HR 45 introduced into

      the House. This is the Blair Holt Firearm Licensing & Record of Sale

      Act of 2009.

      Even gun shop owners didn't know about this because the government is

      trying to fly it under the radar.

      To find out about this – go to any government website and type in HR 45

      or Google HR 45 Blair Holt Firearm Licensing & Record of Sales Act of

      2009. You will get all the information.

      Basically this would make it illegal to own a firearm – any rifle with

      a clip or ANY pistol unless:

      It is registered -You are fingerprinted -You supply a current Driver's

      License -You supply yourSocial Security # -You will submit to a

      physical & mental evaluation at any time of their choosing -Each

      update change or ownership through private or public sale must be

      reported and costs $25 – Failure to do so you automatically lose the

      right to own a firearm and are subject up to a year in jail. -There is

      a child provision clause on page 16 section 305 stating a child-access

      provision. Gun must be locked and inaccessible to any child under 18.

      -They would have the right to come and inspect that you are storing

      your gun safely away from accessibility to children and fine is

      punishable for up to 5 yrs. in prison.

      If you think this is a joke – go to the website and take your pick of

      many options to read this. It is long and lengthy. But, more and more

      people are becoming aware of this. Pass the word along. Any hunters in

      your family pass this along.

      This is just a "termite" approach to complete confiscation of guns and

      disarming of our society to the point we have no defense – chip away a

      little here and there until the goal is accomplished before anyone

      realizes it.

      This is one to act on whether you own a gun or not.

      If you take my gun, only the criminal will have one to use against me.

      HR 45 only makes me/us less safe.




      Please.. copy and send this out to EVERYONE in the USA, whether you support

      the Right to Bear Arms or not. YOUR rights are next. Government is taking away our

      right to choose, as well as the right to defend ourselves from intruders.


    14. David Sayers, NC says:

      The disheartening thing is most people in this country don't care about what's going on unless it effects them directly. Most couldn't even name one senator let alone two. Obama lied,Biden lied,

      Frank,Dodd,Pelosi we know they lied,they whole bunch of the them lie everyday and really don't give it a second thought. It's what they do and maybe the only thing they do well. Everything that has big government involvement will,sooner or later, be destroyed. Whether it's healthcare,social security,carmakers,banks or anything else,it will be flushed down the tube along with all our money. Since we cannot afford these jerks running and ruining our country, when does the real revolution begin?

    15. Pingback: Gird Thy Self – With Health Care “Reform”, The Tax Man Cometh | QandO

    16. Jeff, Florida says:

      All of you that are on or soon will be on Medicare here is the BO health care plan. Nothing will ever be mentioned of the Medicare plan that we now have. Once signed into law BO will quietly put all of us that are on Medicare into his new plan with fewer option, less quality, and ration some of the benefits that will be left, and you may not have a doctor choice.

      If you think I am kidding below is a letter from my Congresswoman who is a Republican.

      Dear Jeffery:

      Thank you for bringing your concerns to my attention. I appreciate the time you took to contact my office on this important issue and welcome the opportunity to respond.

      Reform of America's health care system is necessary. There is no legitimate reason that health care cannot be accessible to all. To provide individuals and families with more affordable, more accessible, and more flexible health insurance coverage, I am working on a bipartisan basis with my colleagues in the House on a number of proposals.

      Just as there is not one clothing size that fits all, there is not one health insurance plan that fits all. I support an approach to reduce costs in the health care industry and make insurance coverage available to everyone. This patient-centered strategy will allow for more choices while increasing affordability. I can assure you I will keep your thoughts in mind as I review numerous health care reform bills. I am sure you will agree that neither party in Congress has all the answers. Both Democrats and Republicans have their share of good ideas, and working together we can piece together the best ones to achieve health care reform that works for all, while preserving choice in the system.

      I am in favor of universal health care – universal meaning everyone has access to health care. Just because someone may not have a comprehensive health insurance plan does not mean they do not have access to care. Since coming to Congress, I have been an avid supporter of Federally Qualified Health Centers, which offer care to everyone regardless of ability to pay. In addition, I advocate for the Partnership for Prescription Assistance, which is a coalition of pharmaceutical companies that offers necessary medications at little or no cost nationwide. PPA has already provided prescriptions to over five and a half million people in the few years it has been in operation. To find more information, you may visit http://www.pparx.org.

      On May 20th, the Senate Finance Committee released a description of policy options to finance President Obama's government run healthcare program. The document discusses and lays out the numerous tax increases the Obama Administration and the Democratic Majority in the Senate are currently considering.

      The suggested tax increases range from eliminating the itemized deduction for medical expenses and taxing your employer sponsored health benefits to taxing the income of students and implementing means testing for Medicare Part D benefits.

      Additionally, the document included a number of "lifestyle" tax increases. These tax increases would increase the cost of a variety of carbonated and noncarbonated beverages, such as non-diet soft drinks, fruit and vegetable drinks, energy and sports drinks, iced tea and coffees, as well as liquor, wine and beer.

      During the campaign, President Obama repeatedly promised to cut taxes for everyone making under $200,000. However, when you look at his recent proposals it appears his campaigning and governing are two very different things. Since taking office President Obama has requested that Congress send him a Cap and Trade bill that will raise electricity costs for the average family by $1,400 a year. Hiding taxes by using language like Cap and Trade when it should really be called "Cap and Tax" is misleading and not what the American people had in mind. Make no mistake: President Obama's Cap and Trade proposal will increase electricity bills for everyone and eliminate millions of jobs.

      Promises become rhetoric when they are not backed up by action. Unfortunately, President Obama's actions speak louder than his promise to cut taxes. Currently, there is no legislation that would implement these proposals. However, should a bill come before the House to raise taxes during these difficult economic times, you can be sure I will vote against it.

      While on the surface a one year suspension of the payroll tax may appear good, however much like socialism, this proposal is good in theory but not so good in reality. Contrary to popular belief, the wealthiest taxpayers in this country do pay a majority of both the income tax and FICA tax that is deposited to the Treasury. Therefore, a reprieve from paying these taxes for one year would only be of minimal help to lower- and middle- income taxpayers while continuing to drastically and irresponsibly increase the national debt.

      FICA taxes fund the Social Security system as well as portions of Medicare benefits. Politicians spend far too much time surmising about how to spend this taxpayer money instead of leaving it where it belongs–in the Treasury. I do not support proposals that deplete this revenue that is meant to be distributed to the hardworking retirees who earned it, and this proposal is no exception.

      Throughout my tenure in public service, I have always kept an open door and an open dialogue with my constituents. As Congress addresses the many challenges facing our nation, I hope you will continue to share your thoughts and views with me. Accordingly, I encourage you to visit my Web site at http://brown-waite.house.gov to email me and find useful information about our 5th Congressional District.

      It is my honor and privilege to serve the people of Florida's 5th Congressional District and my offices and staff are here to provide you with any assistance you may need.


      Ginny Brown-Waite

      Member of Congress

    17. cookie corej- michig says:

      This Health care plan is unneeded. There are people who are eligible for SHIP, VETERANS, MEDICARE AND MEDICAID benefits who have not signed up for them yet. Start a massive sign up campaign ,to get all of these people the benefits they are entitled to.

      Next offer a cheap insurance through PRIVATE CARRIERS to cover people between jobs. COBRA is too expensive for most families who are out of work or awaiting health benefits in a new job.

      There is much waste in the current government health programs now. Much fraud as well. Eliminate some of these and there will be sufficient $$$$ to cover some of our uncovered citizens.

      CITIZENS WAKE UP!!!! The government is already BIG BROTHER in too much of our lives. This new health plan is their way to solve their Social Security, Medicare and Medicaid problems with one pen stroke.Deny care by putting in all types of rules and restrictions and people will die sooner.

      IF THIS PLAN IS SOOO GOOD OUR GOVERNMENT EMPLOYEES SHOULD BE ON THIS PLAN AND NOT THEIR CURRENT HEALTH PLAN, WHICH SHOULD BE ELIMINATED.. How much does a government employee pay for deductibles or prescription co-pays?? Save some $$$ by instituting these copays immediately.

      Those families who choose not to have health coverage should not be penalized for their decision. This is or WAS A FREE COUNTRY until government thought they could make better decisions for us, when they can't even run the government.

      For all those who are unemployed look for jobs in your city, state or federal government, there is little downside as government just keeps growing while our ecomony if failing. Government never downsizes as they can always tax us one way or another. Nice work if you can get it.

      Wonder how many more groups Obama needs to give paybacks to for their contributions to his election.??? When does the average citizen get rewarded????

    18. Ben C, Ann Arbor, MI says:

      Jeff from Florida;

      At least your Congresswoman recognizes the tax agendas of Congress and Obama – she appears to be a faint voice in the wilderness. Go on-line and check her voting record for HR2998 and she how she voted on the "Climate and Security Act" Let us know.

    19. Darren, Kansas City says:

      Sounds as though Obama may have found some savings. The administration has reportedly struck a deal with the American Hospital Assoc that will see hospitals taking over $150 billion less in Medicare reimbursement and $50 billion less in disproportionate share dollars over the next 10 years.

      In exchange for what?

      Include in adopted legislation provisions that will ban physicians from owning their own hospitals. (A provision that has been slipped into numerous bills recently, including SCHIP and Iraq War Spending bills.) Once again, our government will control competition for the benefit of those who will choose to partner with the current administration.

      Is this what is referred to as the "Chicago-Way"?

    20. Pingback: Joe Biden Ain’t Lyin’…Well, He’s Kinda Lyin’ « Blog Entry « Dr. Melissa Clouthier

    21. Mike Sheahen, Hickor says:

      (Quote): "The left sure can be creative when they are desperate to raise revenue"

      First of all, whether wittingly or unwittingly, that line actually helps promote a favorite misleading tool of the so-called "Progressive" government elitist and statist Left, which is their power and money-grabbing falsehood and myth that they must create and/or raise taxes to raise revenue, no matter how and how many times it is proven that doing the opposite actually raises revenue (as even John F. Kennedy knew, and said so).

      Yet here we are again confronted by yet another of the misleading ways of such as so-called "Progressive" politicieans, which include their pushing dependence upon and control by government like illicit drug-pushers amassing accomplices and dependants and thus acquiring ever more power and money at the expense of the people.

      That is indeed and in fact true as there are more than enough personal experiences and case histories, that of whole societies, and thus also enough facts in history to this day, to altogether show and prove that government controlled so-called "health care" has already been tried around the world and has already failed the people, including through the fact that such so-called "health care" forces quality to plummet instead of rise and costs to rise instead of fall.

      Indeed, not only does government involvement cause the worst case of something called "Deep Pockets Syndrome" (prices being higher than they would otherwise be because people believe they see the "deep pockets" of government), but government involvement in so-called "health care" does in fact force it, by sheer force of numbers of people and costs, to actually and completely switch from anything like "what's best for each individual patient" to "what's cheapest for the system".

      Not only that, but such government involvement has, and will again, include politicians and bureaucrats deciding everything from when and what treatments and/or procedures are or are not necessary, and thus also who does and does not deserve to live or live any longer.

      Is there any type or group of people for whom such so-called "Socialized (Socialist) health-care" is a "win-win situation"?

      Yes, politicians and their bureaucrats who are doing whatever they can to push such government dependence and control like illicit drug pushers pushing to amass accomplices and dependants and thus assuring themselves of ever more power, and money at the expense of the people.

      So it is no wonder such so-called "Progressive" power and money-grabbing politicians are not about to give-up what they have going for themselves for the lack of freedom, resources, and control which they are so determined to impose on us, the people, that they will even break their own promises and rules in order to do so.

    22. ella quinn n.c. says:

      I agree with robert we need mitt romney.

    23. Pingback: What Is Your Liberty Worth?

    24. Lois says:

      Although I agree with this generally, I cannot criticize an increased tax on beer, tobacco, or soda. All of these things indirectly drive up the cost of health care for everyone. And they are optional. They are detrimental to health. We do have a choice as to whether or not we use these substances. We are better off without them. I would be happy if the tax quadruppled for these items. Maybe we would be a healthier nation.

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    26. Ron,Derry NH says:

      What frightens me the most is how Obama's pattern and the Democrats most resembles the Wiemar Republic take over of Germany in 1933.

      Same false promises, same result in the take over of the private sector and in the end the same elimination of personal liberty to sustain government control over the people.

      Obama's idea of "Brown shirts", a civilian army inspired by the State and governed by state loyalty with cash bonuses for enrollment and disguised as a civic response seems too similar not to be questioned.

      His desire to nationalize, like Hugo Chavez, every aspect of profit and to create a dictatorship of policy disguised and packaged as hope, should bring goose bumps of fear not of pleasure that Chris Mathews seems to enjoy when ever Obama delivers another false promise for the masses to swallow.

      This health care coercion into a direct feed to government power over personal choice and income by merit has the same suspicious origin as Hitler did the same to Germany. The hope of the masses for inexpensive health care at the expense of all, including their own freedom and liberty seems to be all Obama knows how to dictate.

      In other words, his administration will use and invent crisis, to subjugate America under socialist rule, and create policies to deceive the masses into believing only his solutions are valid and destroy every aspect of personal advancement and self rule by using coercion and threat. The use of government created leverage, loss and corruption has set the stage for this and they are using it as a wedge to destroy our country.

      Simply the Fed created a housing bubble, the congress insured its demise with forced reckless lending practices disguised as Community redevelopment, then allowed the scheme to fail as they managed Freddie mac and Fanny Mae into oblivion. Using front men like henchmen, Chris Dodd, Barney Frank and others prevented the investigation that may have exposed the fraud and then dumped billions of money back into the system directly to the very people and companies that strung out the system and destroyed its stability.

      This coercion of power and consolidation of interest to fleece the American system of its worth to insure the fed and the money movers stay in power as they demoralize and dismantle capitalism in exchange for background sustained power by a chosen few at our expense is near perfect example of the 1933 history of Germany.

      Health care is no different and is being used as a tool to dismantle capitalism an our chosen freedom, to be replaced with government imposed rules and wealth directed straight to the government coffers to be dealt out from their chosen power base not ours.

      There is a historical pattern to all this and it should be received with more than just caution.

    27. Pingback: Fix Health Care Policy | Congress Raises Taxes on Poor to Pay for Health Care … Again

    28. Teg, Seattle says:

      If the White House was concerned with Health Care they should start with lowering the cost of defensive medicine for a start. There are ways to lower costs without out this complete take over.

    29. Jared, Iowa says:

      This idea may be with the good intentions of wanting to help people out, but the road to hell, or in our case bankruptcy, is paved with good intentions. Forced charity is not charity at all.

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