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Politics : A US National Health Care System?

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To: TimF who wrote (1467)1/22/2007 12:42:55 PM
From: TimF  Read Replies (2) of 42652
 
OK, I see -

"The current health system relies primarily on employers to provide health-care coverage as a fringe benefit. Employees are not taxed on the benefits but the Bush plan would set a cap on the amount of coverage that could be offered tax-free.

Anything above that would be taxed as income, the administration official on condition of anonymity."

today.reuters.com

gregmankiw.blogspot.com

So its a cap on how much health care insurance can get special tax treament. Companies would be free to insure beyond that point but they wouldn't be able to offer the insurance tax free. I suppose by "taxed as income" they mean the employee would pay the tax on that benefit.

On the surface that sound like a good idea, but I realize it could cause problems. I haven't thought about this specific proposal much so far. I might have a different opinion later.
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