Dan Gilmore / August 21, 2015

Taxes Could Cause ObamaCare Subsidy Loss

Once again, ObamaCare is on the verge of imploding.

Once again, ObamaCare is on the verge of imploding. The Obama administration gave out heath care subsidies for millions of people, but with that money came extra paperwork come tax time. The IRS recently sent a letter to Congress saying that at the end of May, 1.8 million heads of households — 40% of the people on ObamaCare — did not completely file with the IRS. This puts their ability to collect future health care subsidies at risk. In 710,000 cases, Americans didn’t file any paperwork at all. For another 760,000, they didn’t fill out Form 8962 and attach it to the rest of their filings. “The legislative marriage of two of life’s most baffling necessities — taxes and health insurance — has naturally resulted in some confusion,” writes Brittany La Couture at the American Action Forum. “Notably, nearly half of those purportedly helped by the ACA are now on the verge of losing those benefits — a testament to how complicated the law really is.” What’s the Obama administration to do? Let the jaws of the law swing shut on people now priced out of health insurance? Or is ObamaCare going to get another patch?

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