“The HIT,” this health insurance tax is actually levied on insurers, but they’ll treat it like a hot potato, quickly tossing it into the laps of unsuspecting small-business owners to pay.
Beginning in 2014, the tax will drain $8 billion from them that year alone and steadily increase to more than $14 billion in 2018 and thereafter. The tally for years 2014 to 2020 could be as high as $87 billion.
One of the largest single assessments ever aimed at Main Street, the tax will fall on 12 million workers and self-employed entrepreneurs who purchase their own insurance as individuals, as well as 26 million more workers whose small employers pay their medical benefits. Annual family coverage is expected to leap by $500 a year when the tax kicks in. One former head of the Congressional Budget Office, Doug Holtz-Eakin, estimates that over a decade, the tax will siphon $5,000 from the average family. Exempt from the hot-potato game are unions, state and local governments and big businesses
Exempt from the hot-potato game are unions, state and local governments and big businesses.
If the president seriously sought to “honor and celebrate the individuals whose inspiration and efforts keep America strong,” he would have called a press conference to ask Congress to roll back his new Patient Protection and Affordable Care Act–the massive new health care law that saddles small businesses with a wagonload of cost increases.
Sources—dan danner, nfib