| Health care and our income tax |
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To the editor: Ken Reynolds in “Right and rights and health care” (Smoke Signals, Dec 1, 2009) says, “Without our employer-based system affordable health care would be available to only a small percentage of our population.” This is the conventional wisdom and it took me quite a while to conclude that the opposite would occur. From an employer’s standpoint, the true cost to hire a worker is the total cost to hire him. Part of this cost includes income taxes, FICA taxes, and may include health care in the form of health insurance premiums. Workers ask for this because it saves them from paying income or FICA taxes on health care insurance premiums. The health insurance premium is tax deductible but the deductible or out-of-pocket expenses must be paid with after tax dollars. Insurance companies collude with the government to increase their profits. This is dirty profiting. Not only that, to workers health insurance seems free so they want as much as they can get. If they paid for it with out-of-pocket money, they would spend their money more wisely. The income tax breaks for employer-based and individually based should be equal. Better yet, end the income tax. Our American heritage and original Constitution forbade an income tax. We changed this in 1913 with the 16th Amendment to our Constitution. This allowed a European taxing system known as the income tax. This health care foolishness is only part of the problem caused by the income tax. It is time for Americans to return to our Heritage and repeal the Income Tax. Thanks, Bert Loftman |
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