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More from Ezra Klein via Twitter on the 'Cadillac' tax...

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flpoljunkie Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 09:21 AM
Original message
More from Ezra Klein via Twitter on the 'Cadillac' tax...
If excise tax is now indexed at CPI, that means it's much stronger in the 2nd decade.
13 minutes ago via web

RT @annaedney "Van Hollen says the Cadillac tax will still start in 2018 but be indexed to CPI instead of CPI plus one" Hence $1.2 trillion.
15 minutes ago via web

http://twitter.com/ezraklein
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dkf Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 09:47 AM
Response to Original message
1. They are taxing union workers to pay for this bill. Not the rich. Not the CEOs with huge bonuses
But blue collar union workers. 1.2 trillion off of the middle class.

No middle class tax increase my ass.
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ProSense Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 09:57 AM
Response to Reply #1
2. Nonsense. n/t
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LiberalFighter Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 10:17 AM
Response to Reply #1
3. The tax will only be on the amount over the threshold.
For both rich and middle class.

If the threshold is $21,000 for a family and the employer and employee costs are $20,000 then no tax. If employer and employee costs are $22,000 then the tax will be on the $1,000 above the threshold.

Regardless, after the bill is passed we need to keep pressuring Congress to improve the bill, put pressure on the insurance companies (personally would like to throw them out the business), put pressure on local and state governments to do a better job of negotiating better cost effective insurance for the employees. As long as we have to get health insurance from insurance companies there needs to be better competition.
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high density Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 11:58 AM
Response to Reply #3
9. So it works just like income tax
It seems to make a lot of sense.
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LiberalFighter Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 12:40 PM
Response to Reply #9
12. Same principle but it is not a totally progressive type of tax.
I would like to see a lot of reform so that health care tax or premiums go down. Then more people would not pay the tax. At least more of the middle income families.
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PolNewf Donating Member (388 posts) Send PM | Profile | Ignore Thu Mar-18-10 11:42 AM
Response to Reply #1
6. Unions have time to adjust contracts n/t
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phleshdef Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 11:50 AM
Response to Reply #1
7. If your annual plan is THAT good, you likely aren't fucking middle class.
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bornskeptic Donating Member (951 posts) Send PM | Profile | Ignore Thu Mar-18-10 12:09 PM
Response to Reply #7
10. Apparently some small businesses pay that much because
of the age and health condition of employees. But by 2018 those employers will be able to get much better and less expensive insurance from the exchange, which will use community rating. Outside of those cases you're absolutely right that people with $27000 health plans aren't middle class.

But isn't it strange that "progressives" get all up in arms about the chance that people with $27000 plans from their employer might be taxed on a small fraction of their premiums, while totally ignoring the fact that many less fortunate people who have to buy insurance in the individual market have to pay tax on every cent they pay in premiums?
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lordcommander Donating Member (178 posts) Send PM | Profile | Ignore Thu Mar-18-10 12:25 PM
Response to Reply #7
11. +100000000000 n/t
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high density Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 11:57 AM
Response to Reply #1
8. Seems like a tax loophole that needs to be closed
And somebody has to tackle it. "Hey, let me forgo a raise and get some more tax free benefits instead." Time to end that.
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Jennicut Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 10:24 AM
Response to Original message
4. I had a feeling that was the change that would be made last night.
Thanks for the update.
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Hello_Kitty Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Mar-18-10 11:27 AM
Response to Original message
5. By "stronger" he must mean "will affect more people".
Health insurance costs have been rising at a higher rate than CPI.
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