Posted on 12/26/2014 3:55:53 AM PST by Libloather
**SNIP**
With just under 25 million people enrolling in the federal and state health exchanges (including Medicare and Medicaid recipients), plus the estimated 150 million who have employer-paid health care plans, there are still some 62 million people who would have to pay a penalty but likely will not. For those who do the math the IRS apparently did not, that’s a potential loss of nearly $6 billion in revenue....
But wait, it gets worse. Some 3.6 million more people were laid off during the year and lost their health benefits — becoming liable for some or all of the penalty for the months they were not covered. Call that another billion and a half dollars.
And even worse. Those who successfully did enroll in Obamacare and received a premium credit must repay the overage if the IRS finds that the customer’s 2014 income increased over the 2012 income used as a benchmark. That’s the theory, but with the start of tax season mere weeks away there is no mechanism to make that comparison. The final rules say there will be income comparisons, but who will do this?
(Excerpt) Read more at thenewamerican.com ...
All your money are belong to them.
Let it all roll in.
Confiscation of refunds due you for overpayment of your taxes. This is a scam legitimized by chief justice roberts and now supported encouraged and FUNDED by the feckless ball less spit in every American’s face GOP
I think this is going to be a magical thing to watch when these EITC bunnies start getting credits and fines being taken out of their yearly “partay” bonus.
Ima pop me some popcorn and sit back and watch. :0)
At the recent House hearing starring Jonathan ("Americans are all stupid") Gruber, Marilyn Tavenner, HHS' Centers for Medicare and Medicaid Services administrator, was supposed to explain why she provided an inaccurate enrollment count to the House committee earlier this fall. The figure was off by nearly 400,000, a miscount that was just enough to push the number over the administration’s initial target of 7 million enrollments.
Rep. Mark Meadows (R-NC) was planning to grill Tavenner on how CMS plans to help customers who might see their tax bills increase if their federal healthcare subsidies change.
The issue, little known outside of policy circles, will pose a problem for many of the people who signed up for a benchmark plan in 2014 through the insurance marketplace but choose not to switch their coverage in 2015.
If the new yardstick plan is cheaper, people will qualify for fewer subsidy dollars and find themselves unexpectedly owing money to the IRS the following tax season.
“The significance of this is troubling to me, when you realize what CMS is doing and not doing to inform people that they will get a tax bill [if they do not actively re-enroll],” Cong Meadows said. “There’s a difference between telling people ‘you might get a better premium price’ — which is true and everyone should do that — and telling people they’re about to get the wrong subsidy if they don’t re-enroll.”
Have the Republicans taken any meaningful action to stem the recent abuses of the IRS’s power? Is Lois Lerner still out there walking around free?
Can the IRS enforce these “fines”? Apparently the IRS can do whatever it wants to.
I follow Bob Lazewski’s blog .... when Obamacare was rolling out, the insurance companies that were afraid to go public with some of the bad stuff that was going on, were talking to this guy who was getting interviewed. He wrote a piece last month on the Obamacare numbers and how they can’t really be known until this spring because of what is going on with ‘auto-enroll’, etc. It’s a good explanation & also covers why folks who were subsidized last year are likely to owe taxes if they allowed the auto-enroll to happen without shopping around.
http://healthpolicyandmarket.blogspot.com/2014/11/how-many-people-have-enrolled-so-far-in.html
They may never understand withholding and confiscation of ACTUAL earnings but as you say they’ve never experienced anything but a one-way flow.
but they couldn't figure that out before they passed it just like GOP-e couldn't figure this out when they fully funded it this month.
My understanding is that the IRS can only collect the “penalties” out of refunds . If you arrange your withholding so that you don’t get a refund then no penalty and you haven’t given IRS your money to hold without interest either.
The Republicans are complicit in the whole scam and are relishing the the new system of running all elections on the ability to tweak the system for this group of voters or that group. It’s what they do in England, at least until UKIP came along. And then, of course, there’s the tremendous corruption and graft inherent in any government system and the benefits therefrom for any politician, Republican or Democrat.
For the Gopes it is a no brainer. The new system and all its complications and uncertainties will serve to line their pockets in gravy more than any other single act of government ever has. Unfortunately most of our zealous T-Partiers become Gopes within a few hours of taking their seats in the Congress. They are given to see immediately that on the gope hand is a life of wealth and ease even if they lose their next elections and on the other hand is the relative penury of having to live on their salaries.
All the money withheld from payroll checks and/or sent to the IRS will probably be applied against Obamacare fines and overpayments first then against income tax. Any shortages will be from underpayment of income tax and subject to fines, interest and collections.
I fully expect that Obama has already sent his minions to the IRS ordering them (by executive whatever) not to tamper with the refunds and EITC money that goes to those who qualify for Medicaid or Obamacare subsidies. He will probably set up some special office as part of the IRS to counsel them on their “healthcare choices” and sign them up for Obamacare.
But if your income does not qualify you for Medicaid or Obamacare supplements, you are out of luck and you can kiss any refund or EITC money good-bye forever.
I imagine the. IRS will just add to what you already owe and get it that way
What you say could well be true. But I am thinking that he and his government will have to start showing some tax revenue benefit from this, otherwise the next heir-apparent will have a tough row to hoe in 2016.
And from a Democrat’s perspective, money is money and they will try to take a cut at the EITC booty, though not enough so that they can’t quiet them down with a few lies.
I think he used up all his “Collect $200, do not pass Go’s” in his 2012 election and the ObamaCare delays that made 2014 less impactful. He’s shot his wad is my guess, frankly. The chicken’s gonna come home to roost, I’d bet.
Anyway...I’m certainly hoping for a full-scale EITC riot of sorts when the IRS doesn’t get the memo or can’t not try to collect. I want that whole scam to come out into the daylight where every working American realizes what has been happening for decades.
The law says that they can only take it from your refund. Of course what is written in the law may not have much bearing on what is actually done.
Pyrrhic
The Roberts court, in typical USSC Alice in Wonderland fashion, never treated the issue of is it a CONSTITUTIONAL tax. That kind of challenge has to wait until someone is taxed with the tax.
And King Barack, knowing this, might just amnesty the tax.
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