Biden Is Still Funding Iran
Biden Tells Massive Lie in Latest Statement on Iran Attack
Pro-Palestinian Protester Lobbed Death Threats at Public Officials. It Ended Poorly for He...
Iran's Assault on Israel Makes This Move by Alexandria Ocasio-Cortez Look Even Worse
A Saudi Official Has a Theory on Who Really Started the Gaza War...
You Can't Make This Stuff Up: Here's What Ousted Harvard President Claudine Gay...
The Baltimore Bridge Collapse Has Officially Gained the Attention of the FBI
'The Enemy Is Already Here': More Alarming Chants Heard at Progressive Conference in...
Mike Pence Has a New Job
An Utterly Laughable Hypocrisy
GOP Senators Respond to Schumer's Message of Support to Israel
After Iran's Attack on Israel, Kennedy Offers Advice to Biden
Stephanopoulos Gets Into Testy Exchange With Sununu Over Support for Trump
‘Trans’ High School Athlete Dominates Women’s Track and Field Competition
The NYT Just Dropped a New 2024 Poll. Here Are the Results.

Middle Class Tax Hikes on the Way?

Yesterday I mentioned that the Obama Administration and Democrat Congressional leaders plan to meet behind closed doors to reconcile their two differing versions of health care reform. So much for President Obama’s pledge to make the entire health care reform process open and transparent. In fact,
C-SPAN has asked Congressional leaders to reconsider their thinking and allow the network to air the full proceedings.

As it turns out, providing an open and transparent negotiation process isn’t the only broken promise.  The Senate’s version includes a significant tax increase on the middle class that comes in the form of increased taxes on “Cadillac” insurance plans. Democrats attempted to label these insurance plans “Cadillac” in order to give the impression that people with these types of plans are wealthy. The problem for Democrats is that a large segment of folks with these plans are hard-working American families.

Fox News reports.
The Senate bill raises the biggest chunk of its new revenue through a 40 percent tax on so-called Cadillac health insurance plans -- plans that cost more than $23,000 per family.  And that tax, critics say, will trigger a series of changes that will result in billions of dollars in new taxes on the middle class over the next decade.

First, the tax will hit plans widely used by middle-class employees. The majority of workers with the high-value plans are union members and state government employees who are not considered wealthy, even though Obama advisers like to say the tax is aimed at benefits enjoyed by the likes of Wall Street bankers.

‘A lot of those folks that have Cadillac plans have Chevy wages. And that's what makes it, has made it, somewhat controversial and a real issue of contention,’ said Jim Kessler, vice president for policy with the non-profit think tank Third Way.

And according to the New York Times:
The tax would apply to nearly 20 percent of all workers with employer-provided health coverage in the country, affecting some 31 million people. Within six years, according to Congress’s Joint Committee on Taxation, the tax would reach a fifth of all households earning between $50,000 and $75,000 annually. Those families can hardly be considered very wealthy.

All eyes will be on these health care negotiations in the coming weeks, and I hope Democrat Congressional leaders reverse course and allow these negotiations to be viewed by the public. They’ve already locked Republicans out of these critical negotiations. They shouldn’t do the same to the American public.

Join the conversation as a VIP Member


Trending on Townhall Videos