An issue not frequently brought up concerning the Senate Finance Committee’s version of health-care reform is that it will tax medical supplies. Keep in mind that along with this is the fact that the bill would also be paid for through all of the following:
Fees on insurance companies, drugmakers … Additional tax levied on insurance companies, equal to 40 percent of total premiums paid on insurance plans costing more than $8,000 annually for individuals and $21,000 for families … A fee on employers whose workers receive government subsidies to help them pay premiums. Fines on people who fail to purchase coverage.
It’s an axiom of economics that if you want less of something, you should tax it. If that’s true, then apparently those Senate Finance Committee members who voted in favor of this bill believe that we should have less of all of the following: medical supplies, prescription drugs, high-value insurance plans and (with the tax on employers) jobs.
With all of these taxes, this “reform” should be labeled the “No Person Left Untaxed Act” instead of its more euphemistic title, “America’s Healthy Future Act.”
Just how this amount of taxation is healthy for America is yet to be seen.