New Taxes to pay for Health Care
By bobmnu
@bobmnu (8157)
United States
March 11, 2010 5:58pm CST
One of the proposals coming out of the House is to put a tax on investment income. People who invest in American Business will now have to pay Medicare tax on Dividend, Interest and Capital Gains Income. This could mean that people who have a traditional IRA will pay more of their gains to the Government. According to one report it will not be indexed for inflation so each year it will cover more and more people. Soon what money you earn (and your children) from you savings and checking account will be taxes. Many Life Insurance Policies pay a dividend which helps keep your costs down and increase you cash value of the policy, now you may have to pay taxes on that money which you don't really see. Like any other tax it will grow and become more complicated and taking more of your money.
4 responses
@Destiny007 (5805)
• United States
15 Mar 10
It isn't just investors.
Eventually, everyone's taxes would be raised to pay for this health care debacle if it passes.
The cost of healthcare will go up, not down.... thus negating the stated goals of the proposal.
The truth is that the healthcare issue is all about government control over our healthcare choices.
@anniepa (27955)
• United States
12 Mar 10
From what I've found it's unclear if capital gains taxes will be included and IRA's and 401K's will not be. It will also only apply to individuals who earn more than $200,000 and couples over $250,000 and is an additional 2.9% surtax on unearned income from interest, dividends, annuities, royalties and rents. According to the Center for Tax Justice the changes would only affect 2.3% of taxpayers in 2014. The non-partisan Joint Committee on Taxation estimates this tax would pay for approximately 44% of what's needed for health care reform.
Annie
@spalladino (17891)
• United States
12 Mar 10
This is interesting considering that capital gains taxes have been eliminated for some low- and moderate-income taxpayers until Jan of 2011 and then revert to pre-2003 levels. This will certainly encourage folks to invest...to save.
Good thing we have a wall safe. 
