Diary

Federal Health Insurance Subsidy Funding

FEDERAL HEALTH INSURANCE SUBSIDY FUNDING

Generally tax-loving Obamacrats would be paying the most on my proposed taxes to fund health insurance subsides.

Paying the new taxes gladly will give Obamacrats a way of showing their love for their fellow man in a way God would approve of.

There will be about $100 billion/year in health care funding help handed out.

Five hundred executives making $33 million a year each would make a total of $16.5 billion a year.

Taxation already takes about half of that. An extra $8 billion, probably unobtainable, is $92 billion short of what is needed.

Hedge fund managers have already made their killings in the stock market and generally paid the income tax on them.

Taxing people with high incomes like doctors and dentists all across the USA will drive up medical costs as they adjust their prices, counteracting the subsidies.

In my opinion, it is only fair that what mainly benefits the masses mainly comes from the masses benefited.

Normally I would prefer to shift up the 15%/27% income tax transition to a higher amount so there would not be a total increase in federal taxation, but since the deficit is so high and no significant spending cuts are on the horizon, that is not feasible at this time.

Remember, a lot of these taxes won’t collect much revenue because food will be made healthier to avoid taxation.

INDUSTRIALLY PREPARED PACKAGED SNACK TAX

These taxes shall be remitted by the manufacturer or importer of industrially prepared packaged snack food:

  1. a snack fat tax of four cents per gram of fat and/or oil over 10 grams in a retail size package.
  2. a snack sweetener tax of one cent for every gram of sugar and/or other carbohydrate source sweetener over 20 grams in a retail size package. Raisins shall be considered to have 70% of their weight in sugar for taxation purposes.
  3. a snack sodium tax of ten cents per gram of sodium, with retail size packages of less than 300 mg. of sodium being exempt from the snack sodium tax

BUNDLED SNACK TAX

These taxes shall be levied on and remitted by the bundler of packaged snack foods, either the retailer or manufacturer:

  1. a bundled snack tax of four cents per gram of fat and/or oil and for every four grams of sugar (as labeled) and/or other carbohydrate source sweetener

Raisins shall be considered to have 70% of their weight in sugar for taxation purposes.

Retail two-for-one deals and retail combo deals shall be considered bundling.

INDUSTRIALLY PREPARED FOOD PRODUCT TAXES

These taxes are levied on and shall be remitted by the manufacturer or importer on industrially packaged food products other than snacks:

  1. a fat tax of four cents per gram of fat (solid at 60 degrees)
  2. a food oil tax of two cents per gram of food oil (liquid at 60 degrees)
  3. a sweetener tax of one cent for each gram of added sugar and/or other carbohydrate source sweetener,  tripled if the product is baby food. Raisins shall be considered to have 70% of their weight in sugar for taxation purposes.
  4. a two cents Industrially Sweetened Food Product Tax per ounce for each package containing added sugar and/or other carbohydrate source or artificial sweetener
  5. an Industrial Food Product Sodium Tax of two cents per ounce of food if the sodium content is more than .15% of the weight of the food

When fat and oil are one, the fat tax shall be the one applied to the weight of both.

If the product contains:

  1. meat, up to 5% of the weight of the uncooked meat in fat shall be exempt from the fat tax
  2. dairy, 50% of the fat directly from  milk shall be exempt from the fat tax
  3. fruit, the amount of sugar naturally in the fruit except that of dried fruit shall be exempt from the sweetener tax and the amount oil and fat naturally in the fruit shall be exempt from the fat and oil tax
  4. vegetables, the amount of sugar naturally in the vegetables shall be exempt from the sweetener tax

This tax shall not be applied to butter in packages of butter.

The fat tax and food oil tax on packages of margarine and food grade oil shall be only 1/10 the amounts above, with packages of extra virgin olive oil of less than 8.5 ounces with flow restrictors being exempt.

[People need to have small amounts of fat and oil in their diet so they can absorb certain vitamins.]

INDUSTRIALLY MADE SWEET BEVERAGE, BEVERAGE SYRUP and BEVERAGE CONCENTRATE TAX

This tax shall be levied on and be remitted by the manufacturers and importers of sweet beverages, beverage syrups and beverage concentrates.

These shall be considered subject to the beverage calorie tax:

  1. carbonated beverages containing a sweetener
  2. non-carbonated beverages containing a sweetener, such as punch
  3. fruit-based juice
  4. lemonade
  5. limeade
  6. other beverages containing an added natural or artificial sweetener
  7. concentrates and syrups for sweet beverages

but these shall never be considered a sweet beverage for this tax:

  1. 100% vegetable juices
  2. milk, except for that to which a sweetener has been added
  3. wine, sweet from what was on the vine

A tomato shall be considered to be a vegetable with respect to the beverage calorie tax.

The beverage calorie tax shall be one cent for every 10 calories of production/importation

and one cent for every 10 calories of production/importation in packages of over 12 ounces

and one cent for every 10 calories of production/importation in packages of over 24 ounces.

The beverage calorie tax shall be phased in in 2% increments every 12:01am every Sunday starting January 3,2016.

Importers shall use the time a shipment clears US customs for their timeline for tax computation.

BEVERAGE PHOSPHORIC ACID TAX

This tax is levied on and shall be remitted by the manufacturer or importer of beverages and/or beverage syrups in containers.

The beverage phosphoric acid tax shall be one cent per ounce of beverage in a container and ten cents per ounce of beverage syrup in a container.

[Phosphoric acid is very bad for teeth. It is used to make colas.]

OVERLY SWEETENED INDUSTRIAL BREAD TAX

This tax is levied on and shall be remitted by the industrial producers of bread, including that of grocery store chains when the bread is not made in-store.

It shall not apply to retail store level bakery made bread, even by grocery store chains when the bread is made by mixing ingredients, kneading, letting rise and baking.

A tax of five cents per ounce on bread made with more than 2% by dry weight (and by baked batch) of sugar and/or other natural or artificial sweeteners including but not limited to honey, molasses, high-fructose corn syrup, corn syrup, sucrose, fructose and fruit juice.

This tax shall not apply to bread baked with raisins and/or candied fruit having a weight (per baked batch) equal or exceeding that of other sweeteners.

[Commercial bread often contains about 6% of its weight in sugar and equivalents.]

READY-TO-EAT/PREPARED FOOD TAXATION

These taxes are levied after December 31, 2015 and shall be collected and remitted on all ready-to-eat/prepared food which are sold at the consumer level by the seller, including at restaurants, gas stations and stores of all types:

A high calorie item tax of twenty-five cents per ready-to-eat/prepared priced item containing more than:

  1. 800 calories if sold from 11am to 2am at a restaurant that is one of a chain of over ten
  2. 900 (estimated) calories if sold from 11am to 2am at a restaurant which is not part of a chain of over ten
  3. 500 calories at all other businesses and times, except on baked goods with less than 2% sugar and/or equivalent or produce that has not been denatured

Restaurants that are not part of a chain of over ten shall be exempt from the calorie tax on food they make until January 1, 2017.

Chains of over ten restaurants shall indicate to consumers which menu items are over 800 calories by putting a special character such as an asterisk after the name or price of the item on menus and menu boards.

The FDA shall prepare regulations for how restaurants may estimate calories by August 1, 2016.

A fried food tax of fifty cents per ready-to-eat/prepared fried food item.

[Enjoy that fried chicken or those fries and give Uncle O 50 cents to pay for coronaries.]

A salad tax of twenty-five cents per order of salad after January 1, 2016 when such salad as sold or served, including vendor supplied packages of dressing and condiments, contains over 300 calories or the consumer is purposefully given vendor supplied salad dressing materials of over 300 calories in total without a timely request of wanting “over 300 calories” of dressing.

A ground meat fat tax of fifty cents per serving:

1. when ground meat of over 22% fat content is used and the majority of it is not removed by industrial level food preparation, or

2. when ground meat of 12% to 22% fat content is used and the meat is not cooked to render out the majority of its fat or the meat is not cooked on a rotisserie or grille or equivalent in which fat can readily drip and/or drain downward and away from the meat, or

3. when ground meat of over 8% and less than 12% fat content is used and the normal method of food preparation doesn’t normally remove at least 30% of it or the meat is not cooked on a rotisserie or grille or equivalent in which fat can readily drip and/or drain downward and away from the meat

RETAIL STORE GROUND MEAT TAXATION

A fatty ground meat tax shall be levied on and remitted by retailers offering ground meat for sale:

  1. ground meat containing over 22% of fat, $2.50/pound
  2. ground meat containing over 17% and less than 22.1% of fat, $1.50/pound
  3. ground meat containing over 12% and less than 17.1% of fat, $1.00/pound
  4. ground meat containing over 9% and less than 12.1% of fat, fifty cents/pound

Ground meat used for sausage or meat cold cuts shall be taxed as sausage or meat cold cuts.

SAUSAGE TAXATION

A $2/pound sausage tax shall be levied on and remitted by:

  1. retailers offering sausage for sale and
  2. restaurants on the sausage bought/used

COLD CUT TAXATION

A $10 tax shall be levied on and remitted the manufacturers and importers of meat cold cuts on each pound of fat contained in cold cuts containing meat, manufactured or imported.

 

[If you eat and drink what is healthy, you won’t pay much in the taxes above.]

 

HEALTH CARE FUNDING FEDERAL SALES and USE TAX

On retail level interstate sales

in which a state sales and use tax or comparable tax is not collected, for which the buyer requests to be delivered to a state that levies a sales tax, a 6% federal sales and use tax is levied on those items subject to sales tax of the seller’s choice of state among California, New York and the seller’s own, if it levies a sales tax or other like tax of comparable scope to that of most states or greater.

When a federal sales and use tax is collected, even if not lawfully due, no state or local tax of generally the same type shall be considered to have been levied, unless the federal tax collected is not remitted by the seller within 180 days to the federal government.

The Secretary of HHS may reduce new federal exchange subsidies for a state by 5% indefinitely if the state or one of its subsidiary governments or agencies doesn’t respect this override.

This tax shall be effective January 1, 2017.

[This would raise money for subsidies and level the playing field for local stores.]

HEALTH INSURANCE SUBSIDY FUNDING “MEDICAL” MARIJUANA GROSS SALES INCOME TAX

A 50% gross sales income tax shall be levied on the sales of “medical” and other use marijuana and collected and remitted by the retailer.

[Let the pot tax pay for subsidies used to indirectly pay for outpatient substance abuse treatment.]

HEALTH INSURANCE SUBSIDY FUNDING TELECOMMUNICATION SERVICE TAXATION

There shall be a 20% federal health insurance subsidy cellular phone service tax rising 10% every January to 100% levied on all new service or renewed service and on the retail sale of prepaid cellular service cards.

[Let the Obamacrats talk forever about actually having to pay for government subsidies.]

There shall be a 20% federal health insurance subsidy telecommunication service tax rising 10% every January to 100% levied on all new and renewed telecommunication service with:

  1. a $2/month tax exemption for home phone service
  2. a $4/month tax exemption for home internet service
  3. a $4/month tax exemption for home cable service

These tax exemptions are one of each type per home if it is actually so served during a monthly billing period.

These tax exemptions shall rise 10% along with the tax annually.

[Let the Obamacrats help pay for their subsidies in their cable bill.]

[A $100/month cable/internet/phone bill won’t go to $200/month. The $100 will need go to ~$85 and the tax will make the total ~$120/month.]

[The leftist liberals in Hollywood hopefully will see their residuals cut ~15%.]

[Because of the exemptions, this is actually a tax on overly expensive telecom service.]

[If you got a bundle of cable, home phone and home internet for $50/month, you wouldn’t pay the tax.]

HEALTH INSURANCE SUBSIDY FUNDING HAND-HELD CELLULAR DEVICE TAX

There shall be a 20% federal health insurance subsidy hand-held cellular phone device sales tax rising 20% every January to 100% levied on the final wholesale sale prices of “hand-held” cellular phone devices with a sales price of over $100/unit to be collected and remitted by the last (likely) sellers at the wholesale level.

[Let the Obamacrats getting Iphone 8s help pay for their subsidies.]

HEALTH INSURANCE SUBSIDY FUNDING MOTOR FUEL TAXATION

A 20 cent per gallon Health Insurance Subsidy Funding Motor Fuel Tax shall be levied on all motor fuel except that:

  1. exempt from taxation by international treaty and
  2. motor fuel exported within 30 days of its production or previous importation

This tax shall be paid by the all the producers and importers of motor fuel including gasoline, ethanol (by the producer adding it to gasoline), diesel fuel and biodiesel, but not kerosene.

[Cars are the major risk for people until they reach their mid-40s.]

HEALTH CARE FUNDING INTEREST DEDUCTION REDUCTION and ELIMINATIONS

All federal income tax interest deductions shall be reduced by 50% in tax years starting after December 31, 2015.

Federal income tax interest deductions, except that of the reduced mortgage interest deduction, shall be eliminated for tax years starting after December 31, 2018.

[People in my area buying houses are paying much less than renters for like accommodations. They don’t need the mortgage interest deduction, which should be phased out.]

Jurisdictions regulating rents [i.e. NYC, Crat City, CA.] shall make full allowance upon demand for the loss of this deduction on a per rental unit basis.

HEALTH CARE FUNDING REAL PROPERTY CAPITAL GAINS TAXATION TREATMENT

Now taxable capital gains on real property, REIT stock or any other real property centric financial instrument shall be taxed as ordinary income in tax years starting after December 31, 2015.

[Real property is usually bought with a modest down payment.]

[There is generally little reason to give real property based capital gains special treatment compared to earned income.]

[Stocks are usually paid for in full, so stocks need some adjustment to deal more fairly with the imaginary gain caused by inflation.]

[Only a small percentage of the population owns real property subject to capital gains tax upon sale.]

[Most of the killings in real estate have been made in mainly Democratic areas such as metro NY, LA, SF, DC and Boston.]

HEALTH INSURANCE SUBSIDY FUNDING EARNED INCOME CREDIT REDUCTION

Federal earned income credits shall be reduced by 50%.

[Take half the money they’re getting as EICs and use it to pay for the health insurance subsidies they are probably getting too.]

SECTION 8 PAYMENT REDUCTIONS

Section 8 payments should be reduced by 5% of the monthly rent in months after April 2016 and reduced by 10% of the monthly rent in months after the April two years later, and renter payment shares increased in like dollar amounts.

[Since health insurance will generally be heavily subsidized either by the federal government or by an employer for low income people, low income people will generally need less in housing subsidies.]

[It is also important to shift people who don’t need to be in expensive areas to cheaper locales

to lower housing costs in top economic centers and to support towns way past their heyday.]

[Cutting excessive Section 8 payments is a practical way of obtain funds for health insurance subsidies.]

[Section 8 recipients are among the luckiest of all Obamacrats – really cheap housing on top of nearly free health care and one totally free Obamaphone, etc.]

[The Section 8 income percentage is over forty years out of date. Most ordinary people pay a larger percentage of their income for housing and a smaller percentage for groceries than they did in the early 1970s.]

[Retirees, including me, often pay more than their income in property tax.]

 

[It is also desirable in my opinion that employers pay for health care more fairly, leveling the playing field somewhat.]

EMPLOYER HEALTH COVERAGE SHORTFALL TAXATION

Employers to pay effective January 1, 2018

a $1/day and $1/hour tax for employees in the USA whose hours of work are tracked by mechanical and/or electronic means and

$40/week tax for employees whose hours aren’t so tracked

unless:

  1. health insurance or coverage
  2. meeting state law requirements or
  3. meeting past PPACA minimum essential federal law coverage requirements or
  4. meeting EMTALA enhanced federal law plan requirements with at least ten law-listed riders or
  5. which has an average cost to the employer of at least $1.25 per hour of non-managerial work

is provided to the employee at a cost of less than 5% of the employee’s pay per pay period for the worker

and health insurance or coverage at less than 5% of the employee’s pay per pay period for the employee’s children under age 26 (who haven’t been able to get health insurance from their employer) is either provided or made available at least once in a calendar year and within 60 days of the start of employment.

or

  1. at least $1 on average per hour of work for employees in the USA whose hours of work are tracked by mechanical and/or electronic means or $40/week tax for employees whose hours aren’t so tracked is placed in the worker’s selected HSA or other worker designated account within 100 days after the end of the pay period for the work

 

[Most quality employers already provide good health coverage on request after a short time on the job.]