The Brass Tax of Politics

With IRS Scandal, Should We Delay Implementation of Obamacare?

obamacare-cartoon-2-a

Back in 2009, Obama gave a speech at Arizona State University and joked about using the IRS to audit unsavory people. In a jolting forecast nearly four years ago, Glenn Reynolds wrote a response in the WSJ, saying,

“Should the IRS come to be seen as just a bunch of enforcers for whoever is in political power, the result would be an enormous loss of legitimacy for the tax system”.

As the IRS problems continue to unfold, it’s pretty clear that confidence from all sides is low right now.

With that in mind, one question should definitely be discussed: Should we delay the implementation of Obamacare? Obamacare is designed to be enforced by….the IRS.

Last week, CNBC explained how this will work:

“Get ready for the Internal Revenue Service to play a dominant role in health care. When Obamacare takes full effect next year, the agency will enforce most of the laws involved in the reform — even deciding who gets included in the health-care mandate.”

and further:

“In its 5-4 ruling last year, the Supreme Court upheld the law’s mandate that Americans have health insurance, saying that Congress can enforce the mandate under its taxing authority and through the IRS.

As a result, the agency has to administer 47 tax provisions under Obamacare. They include the right to levy a penalty against businesses and individuals who don’t provide or acquire insurance. Noting that the IRS will collect the penalties, the decision labeled them a tax.

The IRS also has to determine how to distribute annual subsidies to 18 million people who make less than $45,000 a year and thus qualify for subsidies in buying health coverage, as well as how to deliver tax credits to small businesses that buy coverage for workers”.

Obviously we currently have incompetency, partisanship, and trust issues in the IRS. And don’t forget about financial — IRS head Shulman asked for more money (prior to leaving in November 2012) in order to handle Obamacare in 2014. And on top of it all, the head of the IRS, Steven Miller, resigned yesterday.

At this point, the targeting has swelled to 500. Can the IRS be trusted anymore in implement Obamacare in a fair and just manner?

UPDATE:….and the concern is now very real, folks. The Internal Revenue Service official in charge of the tax-exempt organizations at the time when the unit targeted tea party groups now runs the IRS office responsible for the health care legislation.

Sarah Hall Ingram served as commissioner of the office responsible for tax-exempt organizations between 2009 and 2012. But Ingram has since left that part of the IRS and is now the director of the IRS’ Affordable Care Act office. This was confirmed today by the IRS.

The Barack H Obama Foundation Received Tax Exempt Status in Just One Month in 2011. By Lois Lerner

A fresh Op-Ed this morning by IRS head Steven Miller reveals the lengths to which the IRS and the White House are going to spin the on-going scandal. “The agency was simply trying to manage the explosive growth in applications for 501(c)(4) status … [Continue reading]

IRS Scandal Timeline (Pieced Together From Media Reports)

(h/t) pjmedia

With all the reports coming in fast and furiously from different news agencies, here’s a pieced-together timeline of events.  The information below is a timeline of events taken from numerous media outlets with their links provided. Early … [Continue reading]

Cuomo’s Appalling Use of Taxpayer Funds

Hey Businesses! Come here! Now!

Knowing that Gov. Cuomo's is considered a possible contender for 2016, his use of taxpayer funds in this regard is appalling. My latest on Canada Free Press this morning: It is an outrage that Gov. Andrew Cuomo is spending up to $140 million of … [Continue reading]

Senator Kirsten Gillibrand, “Ponzi Mom”

That's me!

Senator Kirsten Gillibrand’s website proudly proclaims “as the mother of two young children, Senator Gillibrand knows that working families are struggling in this difficult economy." But Sen. Gillibrand's positions regarding the economy don’t … [Continue reading]

The Proposed Internet Tax is Merely A Revenue Grabber

The Senate passed the online sales tax bill, formally known as the “Marketplace Fairness Act”. There is nothing fair about this act. It is a back-door way for states to add additional levies on their citizens under the guise of leveling the … [Continue reading]

NYC is Running Out of Other People’s Money

collect taxes

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Obamacare Taxes on Their Way!

Shhh! Don't tell anyone your taxes are going up!

A couple of weeks ago, I spoke at a gathering of higher-income earners. The bulk of the discussion was a comparison of what this bracket of folks just paid in 2012 vs what they will pay in higher taxes in 2013. Some of those taxes had to do with the … [Continue reading]

April 29: 4 Years, 1461 Days Without A Budget

Four years without a budget -- it's delicious!

April 29, 2013 marks four years without a true operating budget for our country. 1461 days and running. In the realm of budget history, April 29 is an historic day. First, an interesting juxtaposition exists between April 29, 1909 and April 29, … [Continue reading]

Carried Interest is Not The Problem

carried interest

John Steele Gordon’s recent Op-Ed in the WSJ opened with following observation: “The question of how to fairly and equitably tax capital gains has been a political problem since the modern personal-income tax was adopted in 1913”. Being a … [Continue reading]