Obama health Care Cadillac tax

I find it interesting that some people see ” Tax “Cadillac” Coverage” as a cost cutting matter…..

IN FACT it does not affect the cost, price or rate of increase of health insurance…. It is in the most simple form of redistribution of assets..

The cost of healthcare will still be the same.  Just people with more money will be paying for people with less money.

Is this a healthcare issue? or a socialism issue?

Ralph Replied with the following debate (which reminded me we have many other issues we need to get reversed)

I guess that depends on how you define socialism. Conservatives cried socialism over child labor laws, minimum wage laws, Social Security, workers compensation, unemployment compensation, Medicare and other programs that have become accepted, useful components of our democratic free enterprise system. As I understand it, so-called Cadillac plans are believed to contribute to over usage of medical care and they give a tax advantage to those fortunate enough to have them compared to people who pay health insurance premiums with after tax earnings,

To which I replied-

“programs that have become accepted, useful components of our democratic free enterprise system” – I would say that we have not had anyone strong enough to do what needs to be done since Reagan and that fewer people grumble about these issues as there are bigger fish to fry but that is a different debate :-)

PS I do agree with most of the child labor laws :-)

Cadillac plans are based ONLY on cost of the plan as it is/will be define in tax law, not on how much care is received… since they will be through private insurance the government should in theory (due to HIPPA laws) not be able to track the cost or the amount of care received by individuals

The “Cadillac tax” is referring to excise tax in the Obama health care Bill under the heading “Subtitle A—Revenue Offset Provisions”(interesting name – Revenue off set sounds a lot like revenue sharing)

Those 40% “excise taxes” tax cosmetic surgery and tanning under section 9017 and 10907, they also tax costly coverage (based on cost only) in section 9001 and 10907

Don’t be a Pelosi – Read the bill! :-)

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