Affordable Care Act

[JohnH]

Dang John you got me. I was gonna add this useless post to get a laugh. We should all ask the HRB lady in the commercials that read the 900 page book on it and she means all of it.

Well, we could probably squeeze at least one more useless post out of this conversation to add a couple more posts to our tally. What do you think about that?

[Cathy]

I believe open enrollment begins the later part of 2013. Somewhere buried in my office is info that our first intro to this hornets nest will occur with the 2013 returns. Then again, all we really need to do is find the woman in the HR Block commercial this past season....you remember the one who had read the entire law and was available to explain it in detail to all of her clients?

DIL works for BCBS in Marketing and when I see her after she gets home from work every day, all she does is shakes her head when I ask her how is "IT" going!

[kcjenkins]

Actually, you can NOT get to ATX Grand Poo-Bah. That is a special level Eric created just for ME. It is one of my proudest 'titles', btw.

[Lion EA]

And, you earned it. (Do we have a bowing down in reverence icon?)

[JohnH]

Actually, you can NOT get to ATX Grand Poo-Bah. That is a special level Eric created just for ME. It is one of my proudest 'titles', btw.

I'm devastated. I didn't know it was impossible to achieve Grand Poo-Bah. So my useless posts have all been in vain? That means I have maybe 6 or 7 posts that achieved any purpose whatsoever.

[Christian]

Well my brethren 2014 will be an interesting tax season !

[Margaret CPA in OH]

Please don't ignore the 'sistren' along with the brethren

[kcjenkins]

http://politi.co/ZJDfkg

Lawmakers, aides may get Obamacare exemption

Congressional leaders in both parties are engaged in high-level, confidential talks about exempting lawmakers and Capitol Hill aides from the insurance exchanges they are mandated to join as part of President Barack Obama’s health care overhaul, sources in both parties said.

The talks — which involve Senate Majority Leader Harry Reid (D-Nev.), House Speaker John Boehner (R-Ohio), the Obama administration and other top lawmakers — are extraordinarily sensitive, with both sides acutely aware of the potential for political fallout from giving carve-outs from the hugely controversial law to 535 lawmakers and thousands of their aides. Discussions have stretched out for months, sources said.

Yet if Capitol Hill leaders move forward with the plan, they risk being dubbed hypocrites by their political rivals and the American public. By removing themselves from a key Obamacare component, lawmakers and aides would be held to a different standard than the people who put them in office.

Democrats, in particular, would take a public hammering as the traditional boosters of Obamacare. Republicans would undoubtedly attempt to shred them over any attempt to escape coverage by it, unless Boehner and Senate Minority Leader Mitch McConnell (R-Ky.) give Democrats cover by backing it.

There is concern in some quarters that the provision requiring lawmakers and staffers to join the exchanges, if it isn’t revised, could lead to a “brain drain” on Capitol Hill, as several sources close to the talks put it.

The problem stems from whether members and aides set to enter the exchanges would have their health insurance premiums subsidized by their employer — in this case, the federal government. If not, aides and lawmakers in both parties fear that staffers — especially low-paid junior aides — could be hit with thousands of dollars in new health care costs, prompting them to seek jobs elsewhere. Older, more senior staffers could also retire or jump to the private sector rather than face a big financial penalty.

Sen. Richard Burr (R-N.C.) said if OPM decides that the federal government doesn’t pick up “the 75 percent that they have been, then put yourself in the position of a lot of entry-level staff people who make $25,000 a year, and all of a sudden, they have a $7,000 a year health care tab? That would be devastating.”

Burr added: “And that makes up probably about 30 percent of the folks that work on the Senate side. Probably a larger portion on the House side. It would drastically change whether kids would have the ability to come up here out of college.”

[TAXMAN]

You know I still think congress should not pass laws that they themselves and their staff will not have to abide by. Of course I had a client say that if the IRS commissioner doesn't have to pay his taxes along with all the rest of those Federal guys who owe all this money why should he pay his? Just a thought after reading all this. If IRS is going to be in charge of collecting this information and $ associated with it, how will they have time to do all these tax returns?

[Guest Taxed]

Don't worry! The legislation was designed that at the end Americans will beg for a single payer system like Canada! And the Canadians will be laughing, told you so!

[GeneInAlabama]

Please excuse my ignorance. Would you explain what the single payer system is? I don't think I have ever even heard the term and didn't know that Canada has one. I may be the only one on this board that doesn't know that, but what I don't know, I don't know.

[jklcpa]

Please excuse my ignorance. Would you explain what the single payer system is? I don't think I have ever even heard the term and didn't know that Canada has one. I may be the only one on this board that doesn't know that, but what I don't know, I don't know.

Single payer system would be if our government collected the fees for, and paid for, all health costs, and they would either contract with the private (outside the govt) providers of the service (like Canada) or the provider would actually be employed or owned and run by the government (like the UK).

[Guest Taxed]

My prediction. The various insurance exchanges that will be setup all over America by each state will turn into an administrative nightmare and the only economically viable solution will be a national insurance exchange of sorts, run by the US Govt. perhaps as a non-profit or other type of quasi-govt. entity to negotiate health care delivery options with various health care providers.

Except for a few non-profit and few for profit large health insurance company, rest will be out of business or doing administrative work on behalf of the national exchange. These companies will be selling supplemental policies to cover what the national insurance exchange does not cover or there is a gap. Just like how senior citizens now buy supplemental coverage.

That is a single payer system, American flavor!

[GeneInAlabama]

Thanks Judy. I just don't remember ever hearing it referred to as that.

[Guest Taxed]

See how quickly Congress acted to free up money to get FAA controllers back on the job! The Senators, Reps and their staff just could not see themselves waiting like a moron because of their own doing! When lawmakers are affected they tend to move swiftly!

[JohnH]

Isn't this a novel idea? When faced with a 2% decrease in revenue and a populace about to revolt, they sudenly discover that it's possible to make selective adjustments.

Wonder where they got that idea? Could it be that they noticed that every taxpayer who earns wages figured out how to cope with exactly the same reduction in income (2%) back in January? Somehow we figured out we didn't need to stop making the house payment or park the car in the driveway. We PRIORITIZED.

[Guest Taxed]

The populace keeps on voting for politicians who are more interested in getting re-elected than making difficult choices to prioritize spending. They know that Govt. has unlimited power to tax!

There should be term limits for politicians at all levels! The only way to overide is get 70% or more of the popular vote.

[kcjenkins]

And the interesting thing about Canada's 'single payer' system is that there is now a growing industry for private health care insurance. And for 'private' doctors, etc. Which, theoretically should be unnecessary under the Canada system.

Here is the deal. Under the Canada Health Act, the federal government mandates and enforces the requirement that all people have free access to what are termed "medically necessary services," defined primarily as care delivered by physicians or in hospitals, and the nursing component of long term residential care. If provinces allow doctors or institutions to charge patients for medically necessary services, the federal government reduces its payments to the provinces by the amount of the prohibited charges.

BUT in 2005, the Supreme Court of Canada ruled, in Chaoulli v. Quebec, that the province's prohibition on private insurance for health care already insured by the provincial plan violated the Quebec Charter of Rights and Freedoms, and in particular the sections dealing with the right to life and security, if there were unacceptably long wait times for treatment, as was alleged in this case. The ruling has not changed the overall pattern of health insurance across Canada but has spurred on attempts to tackle the core issues of supply and demand and the impact of wait times.

[Guest Taxed]

I would settle for a Canadian type system if there is an option for private insurers to sell supplemental type coverage to those who want it and can pay. Anytime you have a Govt program to cover all its citizens there will be some rationing and unhapiness with what is deemed medically necessary services.

At least folks in Canada are not going bankrupt trying to pay medical bills like here!

Over the years many of my clients were able to actually deduct medical expenses on Sch A because the amounts kept on increasing dramatically. Employers are dropping coverage or the out of pocket amount keeps on going up. Next year they have to cross the 10% threshold (less than 65). That will really tick off these people.

[Dale in IN]

Under the ACA taxes are imposed for failure to comply. Does anyone know in which year we will begin adding these on our tax forms?

Yes I am still here.

I have followed the messages on this board all year.

And I have already made the decision to quit tax preparation after 28 years.

I have been fighting kemo and this program all season. Although I have not had the problems that some have had.

However this program has had several mistakes. I am running a dual core Intel 13 processor with 3.3 Clock speed.

I think this speed has helped on the slowness.

In regards to the ACA every tax preparer should get a copy of OBAMA CARE SURVIVAL GUIDE by (NICK J. TATE) .

Published by Humanix Books. It is available from Amazon books for $ 10.95.

It breaks it down in a language that is understandable. It may not be the complete regulation but you will give you a good idea

of what you my expect. And yes it looks to me like the tax preparers are going to be responsible for the collection of the taxes.

They have already cut into my social security for this year as my now X wife sold an inheritance last year and threw us in a high income tax bracket.

Dale in IN

[Guest Taxed]

The persons laughing their way to the bank is the author and publisher of Obamacare Survival guide! Only a sucker would pay $10.95 for info that is readily available!

[jainen]

>>This is in direct opposition to the information I received<<

Let's not get stuck on the word "exempt." According to the link jlewis gave us, employer plans and Medicare are "minimum essential coverage." So there is nothing to do on those returns.

I don't expect much trouble from this provision, but how are we ever going to reform the whole tax system? For one thing, it continues to be used for social engineering and political posturing. And the IRS and we the tax professionals have a terrible time implementing changes--this year we could barely manage when Congress said to just leave almost everything the same!

[Jack from Ohio]

>>This is in direct opposition to the information I received<<

Let's not get stuck on the word "exempt." According to the link jlewis gave us, employer plans and Medicare are "minimum essential coverage." So there is nothing to do on those returns.

I don't expect much trouble from this provision, but how are we ever going to reform the whole tax system? For one thing, it continues to be used for social engineering and political posturing. And the IRS and we the tax professionals have a terrible time implementing changes--this year we could barely manage when Congress said to just leave almost everything the same!

Based on what information? Employers have minimum standards to meet for employee coverage. Not all "employer plans" will meet the "minimum essential coverage" which has yet to be totally defined. The formulas and tables are still incomplete.

[Guest Taxed]

Mitt Romney had designed the Massachusetts system and President Obama just used that as a model. I thank Mr. Romney for showing the way. Tax preparers in MA get from the taxpayer a 1099-HC form that has all the information needed to complete the MA tax return. It takes less than 3 minutes. The MA DOR uses that info. and contacts the tax payer if they do not meet min. coverage. They can hold the refund or send a bill for the fine. The Tax preparer is out of it at that point.

So regardless of what you heard on Foxnews and other right wing talk shows, just ask Tax preparers in MA, if it is a big deal??

[jainen]

>>Based on what information?<<

As I clearly said, according to the IRS link jlewis gave us. http://www.irs.gov/uac/Questions-and-Answers-on-the-Individual-Shared-Responsibility-Provision. Yes, it means "eligible" employer plans. That includes all plans established before 2010, so the article correctly states that most people are already covered.

Considering the stiff penalties,we aren't going to see many employers ignoring the new rules. Anyway, where could they find coverage? The whole thing is an insurance lobbyist dream, so those Big Boys don't have to offer cheapo policies.

I predict health costs will go down because the insurance companies will negotiate all the prices. Then public health will go up because everyone can afford it. That will increase productivity in the workplace, which will translate into higher earnings, and so of course greater tax revenues. That will solve all our other problems!