The IRS Just Got a New Function

I knew this was coming, after discovering the provision in HR 3200 that would mandate government the right to go into your bank account and extract the amount of your gubbmint health scare, but I thought it might need to form a new collection agency- what WAS I thinking? Of course it is a natural fit.

The IRS is already quite possibly the most hated agency in America, why should they create another? They already have most of the pertinent information, and they have a storied tradition of invading peoples’ live in search of the government lucre. And when they do not find it, they know how to put people in prison- just ask Al Capone.

Under both the House and Senate Health, Education, Labor and Pensions (HELP) Committee bills released to the public, the Internal Revenue Service will play a key role in monitoring and enforcing health care mandates against individual taxpayers. Yet the introduction of the IRS into the health care system has received scant attention.

The Senate bill imposes a new requirement that all persons who provide health care coverage to others must file a return with the IRS listing the names, addresses, social security numbers, and the coverage period for each person, and “such other information as the Secretary [of Health and Human Services] may prescribe.” (Section 161(b) starting at page 107). The bill does not limit what information the Secretary may request, so it is conceivable and likely that information as to the nature of the coverage, the family members included, and other details will be reported to the IRS.

The House bill contains similar provisions in section 401(b) (at pp. 175-176). The following information must be reported by the person providing health coverage:

(A) the name, address, and TIN of the primary insured and the name of each other individual obtaining coverage under the policy, (B) the period for which each such individual was provided with the coverage referred to in subsection (a), and (C) such other information as the Secretary may require.

This information is to be provided to the IRS for good reason. The House bill provides for a tax on people who do not have acceptable coverage at “any time” during the tax year. House bill section 401 provides for a new section 59B (at pp. 167-168) of the Internal Revenue Code:

(a) TAX IMPOSED.—In the case of any individual who does not meet the requirements of subsection (d) at any time during the taxable year, there is hereby imposed a tax equal to 2.5 percent of the excess of—
(1) the taxpayer’s modified adjusted gross income for the taxable year, over
(2) the amount of gross income specified in section 6012(a)(1) with respect to the taxpayer.

The Senate version is similar, although the tax is called a “shared responsibility payment” not a tax. Section 161 (at pp. 103-104) words new section 59B of the IRC to require lack of coverage for a month (subject to certain exemptions) before the tax kicks in, and does not specify a specific percentage, but instead, directs that annually

the Secretary shall seek to establish the minimum practicable amount that can accomplish the goal of enhancing participation in qualifying coverage (as so defined).
legalinsurrection.blogspot.com

Oh joy- more of our freedoms lost- well, this is ALWAYS to be expected under Democratic rule. Contrary to their “stated” goals and tenets, the Dems LOVE to exert control, and they are trying to exert with all their might, using every tool that they can bring to bear.

Now,the courts will have to determine whether the IRS has the legal right to delve into Healthcare monies, or whether a new agency must be formed. My thinking is that they are not legally empowered by the Constitution to collect these specific monies- but then I am not a judge- I can’t parse the Constitution as some of them can, but my feeling is that unless the Hussein buys off some judges, things will have to go another way.

I hope so, because it might give Congress time to come to their senses and deny the administration the unrestrained powers of this bill. This is a bad bill, and yes- NO bill is always better than a bad one.

This is a case of, “Go back home, and do it again.”

Blake

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6 Responses to “The IRS Just Got a New Function”

  1. I am appalled at the move to get into our bank accounts and I am even more appalled at the move to get our medical records.

    Newt Gingrich got this idea rolling and I see him as a traitor to conservatism. My health records and your health records should not be online anywhere except in a doctor’s office of our choice.

    The IRS is despicable. We desperatly need the Fair Tax.

    • Blake says:

      Yes- the fair tax would solve a lot of problems, which is why it is never considered.
      It’s just too logical.

  2. Barbara says:

    This country is well on its way to socialism, but that is just the beginning. It will then go to Marxism and on to Communism. Obama is too arrogant to stop what he is doing. He doesn’t care about America, but is looking for much higher and stronger powers such as the United Nations or eventually the New World Order.

  3. Blake says:

    At its inception, the IRS only took 1% of peoples income, and you had to make a lot of money to qualify for that, but like all bureaucracies, you can see how they’ve grown.

  4. buzby says:

    Barbara, please don’t characterize corporate-government theivery as socialism, communism and etc.
    Obama’s plan forces all but the indigent into a public option, or business with the health insurance industry – just another way in which the corporate sector uses the public sector to fleece the private sector.
    I am no fan of socialism, but corporate socialism and government coersions to the same effect ARE NOT SOCIALISM OR COMMUNISM!!!!

    • Blake says:

      Government coercions into a public option are indeed socialism- as is Social Security, Medicare, and Medicaid.
      Not a one of them pays their own way, all need to be financed by increasing amounts of tax dollars, and still are going broke.
      Ina Capitalist society, there needs to be room for profit, or it becomes a hobby- profit should be reasonable, but it is profit that drives innovation, and innovation that will allow us to conquer AIDS, Cancer, and a myriad other diseases and conditions that exist.
      Socialism will end up using yesterday’s technology, because they will have erased the incentive to explore.
      That would be a pity- more people would die.