July 9th, 2009
11:11 AM ET
5 years ago

Health tax is in flux. Now what?

NEW YORK (CNNMoney.com) – Lawmakers searching for a way to pay for health care reform are facing some rough waters.

Very rough.

Sen. Max Baucus, chairman of the Senate Finance Committee, has said repeatedly that health reform would be paid for with a combination of spending cuts and tax increases.

Baucus and others have made some progress through savings in Medicare, Medicaid and other programs.

On Wednesday, for instance, Vice President Biden said hospitals would reduce costs by $155 billion over 10 years. But nothing is final until that deal between the White House and business - and a similar one reached with drugmakers last month - is written into legislation.

And on the revenue side of the equation, there is still no apparent consensus.

Full story


Filed under: CNNMoney.com • Health care
soundoff (46 Responses)
  1. Stuffit

    Sen. Max Baucus, chairman of the Senate Finance Committee, has said repeatedly that health reform would be paid for with a combination of spending cuts and tax increases.

    Stand back folks, I think we have a genius on our hands!

    How else would you pay for it, Barney Frank's good looks?

    July 9, 2009 12:21 pm at 12:21 pm |
  2. Fair is Fair

    Terry, Butte, MT July 9th, 2009 12:09 pm ET

    Paying for it is easy…. Take the profit out of Health Care Insurance. That will cut the Health Care costs by 30% alone. People will not be burdened with High Premiums, High Deductables, and Co-Pays.
    _______________________

    Typical health insurance company profit margin is 4% of premiums collected. How did you come up with 30%?

    July 9, 2009 12:22 pm at 12:22 pm |
  3. jeff

    All govenments LIE
    Regan, Nixon, Bush 1 and 2 , Clinton and now Obama.
    They say they will pay for health care reform through new taxes and savings.
    Well the new taxes will be levied and paid for by the majority in the USA that is the poor and middle class.
    The savings will never happen.
    When was the last time anything the government did actually cost less or the same as whet they say.
    It usually has billions upon billions in overruns

    July 9, 2009 12:23 pm at 12:23 pm |
  4. Ken

    Any basic study of economics will demonstrate that as you remove resources from the economy (taxes), those resources are no longer available for productive use (business generating value and paying employees), and the standard of living for everyone declines. Guess what, the decline is just getting started, and the big O wants to accelerate it.

    The more poverty, the more misery, the more the non-tax paying voters depend on the government for bread crumbs, the more securely the Democratic party holds power. This health care shell game is just one more liberal piece designed to enslave the population to the governemet.

    July 9, 2009 12:24 pm at 12:24 pm |
  5. Idiot_Pelosi

    Here we go again. Dumocrats want to raise TAXES to pay for their socialist plans.

    Well, let's have a bill where DEMOCRATS pay more in taxes since that is what they want to do.

    Forget OBUMMER, I'm going to cheat on my taxes big time. I will not pay anymore taxes or FEES. Where I do pay more in fees, I will find a way to CHEAT on my taxes.

    Raise DEMOCRATS taxes by 5%.

    July 9, 2009 12:29 pm at 12:29 pm |
  6. Kevin in Ohio

    The short-sightedness of people never ceases to amaze me.... tax the heck out of the insurance companies.... yeah, that will raise money. I'm here to tell you that the health insurers will no longer exist...simply because there will be no way for them to compete or, yes, make a profit.

    What people are forgetting when they demonize rich people, insurance companies, and anyone else who pays the burden..... is that sooner or later, they will be taxed out of existence. I myself am leaving a high paying job in exchange for not only more leisure time, but to avoid paying outrageous taxes that are sure to be heaped on me otherwise. Sorry, folks.... I aint payin' for those of you who won't.

    July 9, 2009 12:30 pm at 12:30 pm |
  7. I laugh at comrade Limbaugh daily

    @suckerpunched.Good for you,someone had to do it and wake you up.hahahaha

    July 9, 2009 12:30 pm at 12:30 pm |
  8. Idiot_Pelosi

    You democratic idiots. Where do the hospitals save 150 Billion? It's quite simple, they don't have to cover the expenses of the uninsured illegals when the DUMOcrats raise our taxes to have insurance for every one, including illegal immigrants.

    You save 150 BILLION because now the GOVT is paying that 150 BILLION, (even admiited by that dufus VP BIDEN in his speech).

    This is a bunch of SALES PITCH hog wash.

    Bend Over American, here comes the party of TAX and SPEND.

    July 9, 2009 12:32 pm at 12:32 pm |
  9. Mississippi Mike

    "Spending cuts" don't ever really happen. The number of people who have a net tax payment in a given year is decreasing, by raising their taxes even higher the economy is going to get even worse. Obamanomics is terrible medicine for a very sick economy.

    July 9, 2009 12:33 pm at 12:33 pm |
  10. Tarheel

    It amazes me that people are still shocked that the Democrats are going to raise their taxes. If you think you're paying a lot for health care now, just wait until it's "Free".

    July 9, 2009 12:35 pm at 12:35 pm |
  11. Melissa

    I'd rather pay more taxes than continue with health care the way it is now. I'm terrified of something bad happening. I'd be out on the street or dead because of the massive bills the insurance companies are allowed to screw us with.

    July 9, 2009 12:39 pm at 12:39 pm |
  12. No one famous

    Oh great, more taxes to pay! Why don't we take some of the tax money that we send to everyone else in the workd and spend it here in AMERICA on AMERICAN CITIZENS!

    July 9, 2009 12:39 pm at 12:39 pm |
  13. Karen

    I like the health care I have and AM NOT interested in free health care for illegal immigrants. How will this "free" health care be paid for? Tax increases – we don't need it!

    July 9, 2009 12:41 pm at 12:41 pm |
  14. Diana NJ

    Those who complain about Washington trying to come up with affordable health care for all.... usually are the ones who have worked for the government/ Fed/State/City and have the health care covered by the tax payer anyway... They have no idea of the cost to families. Todate the beginning of July for the 3 of us our out go for health care is $17,000 between insurance payments and co pays.. If no one gets sick, it will mean our cost for health care will be $34,000 for the year.. and that is not counting the $2700 increase that will take effect in August. One of us has asthma and the others have nothing really wrong.
    This is not affordable.

    July 9, 2009 12:42 pm at 12:42 pm |
  15. Scott L

    Morons- – It is like the same dumb argument that liberals make about big oil companies. Just take their windfall profits and tax the hell out of them. They want to apply this to drug and pharmaceutical companies and health insurance companies as well.

    LOL! If you do that, watch how fast those companies start using cheaper and cheaper chemicals that have a higher % of failure.

    You are wishing for your own death warrant. I pay those companies because when I go in for surgery I know I am getting the best there is with the proper sanitation and disease control in place.

    Imagine a texting metro train operator now responsible for sedating you before surgery...

    Didn't think so MORONS.

    July 9, 2009 12:45 pm at 12:45 pm |
  16. Waiting for 2010 for real change

    For starters if Workmans compensation program were to be replaced with health care that would take care of every unisured worker. As an employer we pay over $600 per month to workmans comp for 1 employee. We cannot afford both. Health insurance makes more sense it covers any medical needs, where workmans comp only covers on the job injuries............and we have not had a claim in over 15 years!!

    July 9, 2009 12:45 pm at 12:45 pm |
  17. Independent Again

    If Congress wants to tax people's heathcare benefits to pay for this, why are unions & their members along with Congress exempt fr this new taxation?

    Why isn't Obama offering the same healthcare plan that he ( & memebers of Congress) currently has?

    John & Annie S. Care to answer? Rather than pay $300/per mth for the best healtcare system in the world, you would rather pay more in taxes for substandard healthcare.

    Stupidity does not even begin to describe both of u!

    July 9, 2009 12:47 pm at 12:47 pm |
  18. flybyshoeing

    Cut the services to the old (Medicare) and the poor (Medicaid) that sounds like a real winner to me, Argh!!!

    Why not remove the income cap on taxes for the people who make over the capped amount. Wouldn't that bring in some money?

    July 9, 2009 12:48 pm at 12:48 pm |
  19. Mark of Saint Louis

    The majority of Americans have good coverage that they don't want to lose. The system is broken but the radical changes and negative impact that the libs are proposing will hurt all of us. Libs should wake up and realize that the government plan is flawed. Do not listen to the lies by your leaders. All other socialized health care programs are failures. What makes you think that your government can provide you with a decent program?

    July 9, 2009 12:48 pm at 12:48 pm |
  20. Dennis

    McCain had the audacity to say that someone would actually half to pay for universla health care and he was mocked by the Obama campaign. Funny that McCain knew more than the "all knowing one"

    July 9, 2009 12:48 pm at 12:48 pm |
  21. flybyshoeing

    Campaign finance reform, NOW!!!! Tax the campaign contributions at 25%. That will pay for Healthcare.

    July 9, 2009 12:51 pm at 12:51 pm |
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