If Obamacare will be anything like the NHS first there will be Higher Taxes then there will be Rationing

Posted by PITHOCRATES - April 7th, 2013

Week in Review

There is no such thing as a free lunch.  We’ve all heard this expression.  And we know what it means.  Vendors buy customers lunches to get more business.  And customers know whatever they get ‘free’ from a vendor is included in the price they pay for their products or services.  So nothing is free.  Just other people pay for things you get to enjoy.

A lot of people thought national health care was free health care.  Which is why they want it.  Because they can’t stand paying even the co-pays on the high cost of health care.  But by nationalizing health care those high costs don’t go away.  Because doctors and nurses just don’t start working for free.  No.  We pay for free health care by nickel and diming everyone everywhere we can (see Taxes heat up battle against ‘Obamacare’ by Tom Howell, Jr., posted 4/3/2013 on The Washington Times).

A tax on everything from X-ray machines to oxygen tanks took effect at the beginning of this year — one of about 20 taxes and fees included in President Obama’s health care law — and has emerged as the central battleground in the fight by the law’s opponents to repeal parts of the president’s overhaul…

The device tax is one of several that kicked in this year, along with higher taxes on investment income and an increase in the Medicare payroll tax among households making $250,000 per year. Taxes and restrictions on flexible savings accounts, health savings accounts and health reimbursement arrangements are also starting to bite.

The tax penalty imposed on those who refuse to obtain health coverage will kick in next year, with a minimum penalty for low-income individual taxpayers of $95 in 2014, rising to $325 in 2015 and $695 in 2016. Those with higher incomes will end up paying more because their penalty is based on a percentage of their income — 1 percent in 2014, 2 percent in 2015 and 2.5 percent in 2016 and beyond.

And still looming later this decade is a 40 percent excise tax on high-value “Cadillac” health insurance plans, which will not debut until 2018.

The health care law’s $1 trillion in revenue raisers also includes niche targets, such as a 10 percent assessment on indoor tanning services…

…the health insurance tax, an annual fee that taxes health insurance providers relative to the worth of the insurance premiums they collect each year.

They will tax us every chance they get.  Because ‘free’ health care is more costly than the kind you pay for out of pocket.  Because when it’s ‘free’ you will use it more often.  “If it’s free it’s for me.”  And because the consumption of health care resources will rise so will all of these new taxes as they scramble to find a way to pay for this ‘free’ health care.

A lot of people no doubt draw some comfort in the fact that the rich will pay the majority of these taxes. But all of these taxes will eventually filter down to the average American as businesses raise prices to cover these taxes.  And those “Cadillac” health insurance plans?  They’re just not for rich people.  Very sick people often spend a fortune on these plans to reduce their overall costs of their treatments.  Which means the 40% tax on these plans will make these plans unavailable to them.  Causing great upheaval in their lives as they transition from their private plan and doctors to the state plan and doctors.

Eventually the costs will grow greater than all this new tax revenue.  As it has in the United Kingdom.  Where they have had to turn to cost cutting, consolidation of health care clinics and hospitals, longer travel distances to see a health care provider, longer wait times, rationing and denials of health care treatment.  Because their ‘free’ health care grew so costly with their aging population that they just can’t treat everyone.  Patients sometimes have to wait an hour or more for an ambulance.  And wait another hour or more at the hospital before a bed opens up for them so they can be unloaded from the ambulance.

And then there’s the Liverpool Care Pathway for the Dying Patient.  A quasi death panel.  Basically unplugging a patient to let them die with dignity.  Sometimes without telling the patient’s family about this hospital decision.  Where critics say it’s more about freeing up limited health care resources than about dying with dignity.  Especially with a costly and aging population.

So this is our future with Obamacare.  As the government takes over health care taxes will rise further.  And quality will fall.  As they try and stretch those limited resources to cover more and more patients.  Especially with a costly and aging population.

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