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Obama is taking 2nd look at tax on benefits (To Pay for Socialized Medicine)
The Minneapolis/St. Paul Star-Tribune / The New York Times ^ | March 14, 2009 | Jackie Calmes and Robert Pear

Posted on 03/14/2009 3:29:23 PM PDT by 2ndDivisionVet

The Obama administration is signaling to Congress that the president could support taxing some employee health benefits, as several influential lawmakers and many economists favor, to help pay for an overhaul of the health care system.

The proposal is politically dicey for President Obama, however, since it is similar to one he denounced in the presidential campaign as "the largest middle-class tax increase in history." Most Americans with insurance get it from their employers, and taxing the benefit is strongly opposed by union leaders and some businesses.

In millions of dollars worth of television advertisements last fall, Obama criticized his Republican rival for the presidency, Sen. John McCain of Arizona, for proposing to tax employer-provided health benefits. The benefits have long been tax-free, regardless of how generous they are or how much an employee earns. The attacks did not note that McCain, in exchange, wanted to give all families a tax credit to subsidize the purchase of coverage.

At the time, even some Obama supporters said privately that he might come to regret his position if he won the election; in effect, they said, he was potentially giving up a meritorious and lucrative option to help finance his ambitious health care agenda to reduce medical costs and expand coverage to the 46 million uninsured Americans. Now that Obama has begun the health debate, several advisers say that while he will not propose changing the tax-free status of employee health benefits, neither will he oppose it if Congress does so.

(Excerpt) Read more at startribune.com ...


TOPICS: Business/Economy; Crime/Corruption; Culture/Society; Front Page News; Government; Politics/Elections
KEYWORDS: 111th; bho2009; bho44; congress; first100days; obama; socializedmedicine; taxes
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"I was for it before I was against it." Where have we heard that before?
1 posted on 03/14/2009 3:29:23 PM PDT by 2ndDivisionVet
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To: 2ndDivisionVet
Wonder how many obama supporters now have buyers remorse...
2 posted on 03/14/2009 3:34:28 PM PDT by 2banana (My common ground with terrorists - they want to die for islam and we want to kill them)
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To: 2ndDivisionVet
The Obama administration is signaling to Congress that the president could support taxing some employee health benefits, as several influential lawmakers and many economists favor, to help pay for an overhaul of the health care system.

As long as the family doesn't make $250,000 I feel safe from taxation.

We were promised. ; )

3 posted on 03/14/2009 3:35:10 PM PDT by EGPWS (Trust in God, Question everyone else)
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To: 2ndDivisionVet
I'm confused....

Why would the government TAX health benfits just to pay them out again through entitlement programs?

Oh wait... now I get it.

Photobucket

4 posted on 03/14/2009 3:35:58 PM PDT by Cobra64
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To: 2ndDivisionVet

Here’s where BO bites many of his liberal backers in the ass.


5 posted on 03/14/2009 3:36:20 PM PDT by Bertha Fanation
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To: 2banana

They won’t care, they are the ones having the rest of us pay for their health care anyway.


6 posted on 03/14/2009 3:37:18 PM PDT by Secret Agent Man (I'd like to tell you, but then I'd have to kill you.)
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To: 2ndDivisionVet
In millions of dollars worth of television advertisements last fall, Obama criticized his Republican rival for the presidency, Sen. John McCain of Arizona, for proposing to tax employer-provided health benefits.

That McCain sure knows how to run a lousy campaign.

Worst ever in American history.

7 posted on 03/14/2009 3:38:14 PM PDT by Rome2000 (Peace is not an option)
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To: 2ndDivisionVet
....since it is similar to one he denounced in the presidential campaign as "the largest middle-class tax increase in history."

I remember throwing things at the TV when this clown was shamelesssly demagoguing this issue.

Change! Change we can BELIEVE in!

8 posted on 03/14/2009 3:38:18 PM PDT by denydenydeny ("I'm sure this goes against everything youÂ’ve been taught, but right and wrong do exist"-Dr House)
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To: 2ndDivisionVet
"I was for it before I was against it." Where have we heard that before?

That was then and this is now. LOL!

9 posted on 03/14/2009 3:38:23 PM PDT by EGPWS (Trust in God, Question everyone else)
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To: 2ndDivisionVet
many economists favor

And what about the many economists that dont favor it?

10 posted on 03/14/2009 3:39:00 PM PDT by lowbridge (It's not that liberals are ignorant, it's that they know so much that isn't so - Ronald Reagan)
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To: 2ndDivisionVet

This will push more employers to drop plans, increasing the uninsured, thus increasing the costs of his socialized plan while removing his proposed funding mechanism. F ing Brilliant!


11 posted on 03/14/2009 3:39:15 PM PDT by Kozak (USA 7/4/1776 to 1/20/2009 Requiescat In Pace)
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To: Kozak
This will push more employers to drop plans, increasing the uninsured, thus increasing the costs of his socialized plan while removing his proposed funding mechanism.

All that has to be done is to tax cigarettes to make up the difference.

See how easy that is?

12 posted on 03/14/2009 3:42:33 PM PDT by EGPWS (Trust in God, Question everyone else)
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To: 2ndDivisionVet


13 posted on 03/14/2009 3:43:54 PM PDT by Colonial Warrior (Never approach a bull from the front, a horse from the rear, or a fool from any direction.)
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To: 2ndDivisionVet

Is Obama considering taxing the part of the premium the employer pays for health insurance, the actual benefits the employee receives as reimbursements, or both?


14 posted on 03/14/2009 3:44:10 PM PDT by Right_in_Virginia
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To: 2banana
Wonder how many obama supporters now have buyers remorse...

Doesn't really matter. The media will never cover them, interview them or admit they exist. Nothing like bias by omission.

15 posted on 03/14/2009 4:07:59 PM PDT by Kieri (The Conservatrarian)
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To: 2ndDivisionVet

We must clean out the sewer that is Washington DC.


16 posted on 03/14/2009 4:11:09 PM PDT by screaminsunshine (!!)
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To: Right_in_Virginia

It reads to me that he wants to tax the amount that the company pays in your faver as income.


17 posted on 03/14/2009 4:14:19 PM PDT by raybbr (It's going to get a lot worse now that the anchor babies are voting!)
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To: Kozak
He WANTS employers to drop plans...

We WANTS cost to go up to the public...

He WANTS chaos..

He WANTS people to be screaming for the Feds to rescue them...

This is his little perfect National Health Care storm....

Remember....never let a good crisis go to waste.

18 posted on 03/14/2009 4:15:30 PM PDT by Osage Orange (Our constitution protects aliens, drunks and U.S. Senators. -Will Rogers)
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To: 2ndDivisionVet

If you’re not outraged, you’re probably a Marxist.


19 posted on 03/14/2009 4:26:25 PM PDT by BillyBonebrake
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To: raybbr
That is exactly what they want. For most people universal health care is a wonderful idea in theory. However, when they understand that they will actually have to pay for it and the realization of how much it will cost will quickly turn the tide against it.

Most people, even if thought that they would be tax on health benefits, didn't understand that the cost will include your cost as well as the cost that the employer pays. It will amount to a tidy sum in most cases even for crappy coverage.

20 posted on 03/14/2009 4:32:45 PM PDT by WHBates
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