Early GOP Health care bill question..

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DaveSimmons

Elite Member
Aug 12, 2001
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670
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I looked up the Mass law:
http://www.malegislature.gov/Laws/SessionLaws/Acts/2006/Chapter58

I would say it is a penalty in Mass...especialy since it is Constitutional for a State to do this, so it would not have to be called a tax in order for it to be allowable. Therefor, it is not a tax but a penalty, per the law.

So Romney is correct when he says it is a penalty and not a tax.

It's a tax penalty though -- and Romney himself called it a tax in his USA Today opinion piece. He had as much time to write that as he wanted, so it can't be called an accidental misstatement while speaking off the cuff.

He called it a tax, until he decided not to call it a tax.

From the law:
"(ii) claims an exemption under section 3, or (iii) had a certificate issued under section 3 of chapter 176Q. If the person does not so indicate, or indicates that he did not have such coverage in force, then the tax shall be computed on the return without benefit of the personal exemption set forth in paragraph (b) of Part B of section 3 of chapter 62, or, in the case of a person who files jointly with a spouse, without benefit of one-half of the personal exemption set forth in such paragraph"

That's all talking about losing a tax credit, i.e. it's a tax penalty.
 

cybrsage

Lifer
Nov 17, 2011
13,021
0
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Ah, gotcha. You are correct. So it is right to call it both a tax and a penalty.
 

DaveSimmons

Elite Member
Aug 12, 2001
40,730
670
126
Yep, and Obama is raising taxes for anyone who chooses not to get insurance, just like Romney did in Massachusetts.
 

lopri

Elite Member
Jul 27, 2002
13,310
687
126
Wait. Are you guys sure that Romney is calling Obamacare a penalty? I thought he called it not a tax then changed his mind to calling it a tax.

Gosh everything is so confusing with Romney. ;)
 
Nov 29, 2006
15,823
4,356
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I looked up the Mass law:


http://www.malegislature.gov/Laws/SessionLaws/Acts/2006/Chapter58

I would say it is a penalty in Mass...especialy since it is Constitutional for a State to do this, so it would not have to be called a tax in order for it to be allowable. Therefor, it is not a tax but a penalty, per the law.


So Romney is correct when he says it is a penalty and not a tax.

I dont care what anyone actually calls it. End results are the same. That is all that matters.

BUT...for the sake of all future arguements lets all agree to mix the two words and hence forth shall always be known as "tax penelty" :)
So we can get over this petty squabbling of a word.
 
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