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Friday, March 19, 2010

Just What the IRS Does Not Need, More Power

Under Obamacare, what will happen to your tax refund if you refuse to get health insurance?

The IRS may keep it and apply it to any penalty that the government decides to impose on those without health insurance. The IRS will be able to confiscate it under the House Health Care proposal. Of course, those who lack health insurance and are paying the penalty are likely not paying the penalty because they choose not to have coverage; they likely cannot afford it. Taking their tax refund is a horrible way to help people who need that money. After all, they overpaid the government in the first place!

Since the IRS will be given new powers of confiscation, they need $10 billion from the government over 10 years to separate tax refunds from hard-working people who need it. Oh, and another 17,000 employees to deal with all the new responsibility Obamacare would give them.

This scenario is likely just going to be compounded with all the new orders given to existing branches of government. Each department is going to need money above and beyond what the health care bill costs in order to implement it, as well as tens of thousands of employees, all at above market wages and union representation. So while the Democrats say health care is only going to cost so much, they clearly either ignore or discount the true cost of implementing this disgrace of a bill.

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