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question everything

(47,535 posts)
Sun Dec 15, 2013, 02:01 PM Dec 2013

Republicans Shy Away From Their Own Health Plan

(snip)

Some Republicans are now worried that a GOP proposal to begin taxing health-care benefits offered through employers—which would affect some 160 million Americans—would cause market disruptions far more severe and expose the party to its own political peril. The proposed tax change was proposed by President George W. Bush in 2007 and by Sen. John McCain as presidential nominee in 2008. A similar GOP plan in the House has 117 co-sponsors. Now, some Republican policy specialists have started to advocate that the GOP instead adopt a more modest approach.

(snip)

Republicans have promised to "repeal and replace" the Affordable Care Act, but the GOP House has staged votes only on repeal, in part to avoid the sort of scrutiny that inevitably comes with specific proposals. Some Republicans say that needs to change. "You can't beat something with nothing," said Rep. Tom Price (R., Ga.), who has proposed legislation to modify—but not fully rewrite—the tax treatment of health insurance. "More and more members [of Congress] are discussing the imperative for us to have a positive alternative."

(snip)

For decades, employers have been allowed to buy their workers health insurance without either the company or the employees owing taxes on the value of the coverage. Republicans have long proposed replacing that break with a new tax credit for all Americans with insurance—part of a broader plan to sever the link between employment and health care that the party believes would induce consumers to demand lower and more transparent prices, thus trimming health costs. The change also would remove incentives in the tax code for employers to offer their workers very expensive health plans.

(snip)

others recommend capping the tax break available for health insurance through work and finding other ways to pay for additional tax breaks to those who buy insurance on their own. Mr. Price's plan is an example of this more modest approach. The congressman said in an interview that interest in this idea has grown among his colleagues in the aftermath of the health-law rollout.

(snip)

http://online.wsj.com/news/articles/SB10001424052702303330204579248321886920780

(if you cannot open at the link, copy and paste the title onto google)


4 replies = new reply since forum marked as read
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Republicans Shy Away From Their Own Health Plan (Original Post) question everything Dec 2013 OP
Republicans want to raise taxes? truebluegreen Dec 2013 #1
What Republican health plan? Gothmog Dec 2013 #2
Supposedly Bush and Mccain suggested something question everything Dec 2013 #3
They want to get rid of medicare Rosa Luxemburg Dec 2013 #4

question everything

(47,535 posts)
3. Supposedly Bush and Mccain suggested something
Sun Dec 15, 2013, 10:38 PM
Dec 2013

but the party-led teabaggers decided that to chant: repeal, repeal, is better...

Personally, I like that plan described, above. If more than 40 million will now join the 19 million who are not covered by employers, you will have a really unfair tax treatment.

On the one hand you have the ones covered by employers with pre-tax dollars, and the others who don't get any tax benefits. Unless they itemize their deductions and even then, they can deduct only the amount that exceeds 10% of their adjusted gross income.

So, yes. Either tax the employers provided health insurance - currently costing the treasury $140 Billions, or let the individuals take credit for their premiums.

Or, as the Republican congressmen suggest, above, do a bit of both.

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