Oh I forgot the link...

[link]

24: I was so hoping that Jack's father would be played by Donald Sutherland.

Bush will put forth a plan to make health insurance taxable income

Because it's a "benefit" we "earn," right?

megan, me too!

I've heard the plan is to tax people with "expensive" health care insurance and use the money for the uninsured.

They also claim that the tax liability will drop for most people. It doesn't really add up. I guess they mean that health insurance will be taxable income but can be deducted as well. The problem with this is that it screws people who don't have very high income and don't own a house. They get their taxable income jacked up, but since they don't have very high state taxes or a house the deduction may still not be higher (or just a little higher) than the standard deduction.

If it isn't an itemized deduction, then I wouldn't have as much problem but I don't think will do much aside from making taxes more complicated.

I guess they mean that health insurance will be taxable income but can be deducted as well.

The cost of "gold-plated" health insurance provided by your employer will be taxable income. Insurance costs paid out of pocket (if you're self-employed or unemployed) will be tax deductible.

Since my employer pays 100% of my health insurance, for my entire family, this could screw me in a really big way.

How are we defining "gold-plated"? Can out-of-pocket costs like deductibles be tax deductible? And also, um, Jessica, where do you work?

Bush hates me. My only comfort here is that this has no chance of passing. crosses fingers and prays to several deities

This is odd... one of the reasons given for difficulty in implementing national health care in the US is that people with good insurance plans will believe they'll be worse-off with national health care, so they'll oppose it. But it seems this Bush plan will gather more opposition from the well-insured....

How are we defining "gold-plated"? Can out-of-pocket costs like deductibles be tax deductible? And also, um, Jessica, where do you work?

I don't remember the exact cutoff -- something like anything over $15,000/year? The stated goal is to get companies to save their employees money by switching to cheaper more "efficient" health care plans.

I work for a very large British television company.

[eta: And since all of my info on the Bush health care plan comes from waking up to NPR's story about it, I can't vouch for 100% accuracy. Assume everything I say on this topic comes with a pre-coffee disclaimer.]

My only comfort here is that this has no chance of passing.

Yeah, there is zero chance. The funny thing is that this is going to screw over republicans in congress. Either they break from the president or they get tagged with voting to tax health benefits.