Is Obamacare really a tax? That question went all the way to the Supreme Court.
While the average American may not know every single detail, they do know that they’re paying a lot more money for something they probably didn’t even want. President elect Donald Trump has promised to cut taxes and eliminate Obamacare.
One writer says that he can do both at the same time.
At Americans for Tax Reform, Alexander Hendrie explains:
Obamacare imposed roughly one trillion in higher taxes over ten years, including at least seven that directly hit middle class families. Repealing these taxes will provide much needed relief to the paychecks of families across the country. (…)
This income tax increase directly targets middle class Americans with high medical bills. The tax hits 10 million households every year. Before Obamacare, Americans facing high medical expenses were allowed an income tax deduction to the extent that those expenses exceeded 7.5 percent of adjusted gross income (AGI). Obamacare now imposes a threshold of 10 percent of AGI. Therefore, Obamacare not only makes it more difficult to claim this deduction, it widens the net of taxable income. This income tax increase will cost Americans $40 billion over the next ten years.
The article makes for depressing reading, thinking of how Obama has penalized millions Americans for not buying health insurance while costs go through the roof. But it also puts into perspective just how much a repeal of Obamacare would help American families.
Source: Americans for Tax Reform