Affordable Health Care for America

Today's post will be in the form of reporting contents of H.R. 3962, the 'Affordable Health Care for America Act' that Speaker Nancy Pelosi is seeking to bring to a vote as quickly as tomorrow in the House of Representatives.

I am reporting because Speaker Pelosi has backed off her earlier commitment to publish the bill 72 hours prior to bringing it to the floor for a vote. I just think you ought to know some of what is in the bill.

A letter from the non-partisan Joint Committee on Taxation (JCT) confirming that the failure to comply with the individual mandate to buy health insurance contained in the Pelosi health care bill (H.R. 3962, as amended) could land people in jail. The JCT letter makes clear that Americans who do not maintain “acceptable health insurance coverage” and who choose not to pay the bill’s new individual mandate tax (generally 2.5% of income), are subject to numerous civil and criminal penalties, including criminal fines of up to $250,000 and imprisonment of up to five years.

Key excerpts from the JCT letter appear below:

“H.R. 3962 provides that an individual (or a husband and wife in the case of a joint return) who does not, at any time during the taxable year, maintain acceptable health insurance coverage for himself or herself and each of his or her qualifying children is subject to an additional tax.” [page 1] - - - - - - - - - -
“If the government determines that the taxpayer’s unpaid tax liability results from willful behavior, the following penalties could apply…” [page 2] - - - - - - - - - -
“Criminal penalties
Prosecution is authorized under the Code for a variety of offenses. Depending on the level of the noncompliance, the following penalties could apply to an individual:
• Section 7203 – misdemeanor willful failure to pay is punishable by a fine of up to $25,000 and/or imprisonment of up to one year.
• Section 7201 – felony willful evasion is punishable by a fine of up to $250,000 and/or imprisonment of up to five years.” [page 3]

When confronted with this same issue during its consideration of a similar individual mandate tax, the Senate Finance Committee worked on a bipartisan basis to include language in its bill that shielded Americans from civil and criminal penalties. The House bill, however, contains no similar language protecting American citizens from civil and criminal tax penalties that could include a $250,000 fine and five years in jail. Language in the bill actually contains a provision of jail time for those who cannot afford or would choose not to buy the $15,000 premium the plan creates. According to the Congressional Budget Office the lowest cost family non-group plan under the Speaker’s bill would cost $15,000 in 2016.

All of the above is reporting and is referenced. Now for comment: No comment necessary. The actual language of the bill says it all.

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