FULL COVERAGE BEGINS IN 2014 BUT UPPER 2% BEGIN PONYING UP IN FOUR DAYS
With all the attention being paid to the Fiscal Cliff, it’s ugly cousin – ObamaCare – has been off the radar screen for awhile. That will end come January 1, when tax hikes and fees begin to hit those who will pay for it – particularly the top 2% of wage earners. It’s been awhile since I visited this, but here’s a look at some of the major taxes and fees coming down the pike – estimated to total nearly $700 billion over 10 years.
Upper-income households. Beginning January 1, individuals making more than $200,000 per year, and couples making more than $250,000 will face a 0.9% Medicare tax increase on wages above those threshold amounts. They’ll also face an additional 3.8% tax on investment income. Together, these are the biggest tax increase in ObamaCare.
Employer penalties. Starting in 2014, companies with 50 or more employees that do not offer coverage will face penalties if at least one of their employees receives government-subsidized coverage. The penalty will be $2,000 per employee, but a company’s first 30 workers don’t count toward the total. Washington math?
Health care industry. Insurers, drug companies and medical device manufacturers face new fees and taxes as well. Companies that make medical equipment sold chiefly through doctors and hospitals, such as pacemakers, artificial hips and coronary stents will pay a 2.3% excise tax on their sales, expected to total $1.7 billion in its first year, 2013. Even left-wingers like Al Franken and Chuck Schumer are trying to get this potentially disastrous tax repealed.
Pharmaceutical companies. Drug manufacturers that make or import brand-name drugs are already paying ObamaCare fees; they totaled $2.5 billion in 2011, their first year.
People who refuse to buy health insurance. Nearly 6 million people who don’t purchase health insurance will face tax penalties starting in 2014. The fines are estimated to raise $6.9 billion in 2016. Average penalty in that year: about $1,200.
Tanning-bed freaks. A 10% sales tax on indoor tanning sessions took effect in 2010. It’s expected to raise $1.5 billion over 10 years.
Health Insurers. In addition to ‘all of the above” – and then some – America’s health insurers faces an annual fee that starts at $8 billion in its first year alone – beginning in 2014.
And the worse part is, this is just the projected cost to taxpayers as of now. If anyone can tell me about one – just one – major government spending program that didn’t wildly exceed its projected costs, I’ll buy you a one-way ticket to Planet Obama. Hasn’t ever happened – never will.
So much for “affordable” healthcare for “everyone” – and “the rich” not paying their “fair share,” huh?