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Local group criticizes McCain health care tax

Thursday, October 2nd, 2008


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Marc Stier of Healthcare for America now says the John McCain plan to tax healthcare benefits will put it out of reach for thousands of Americans.

“That means if your company spends $12,000 for you on healthcare you will pay taxes as if you got a $12,000 raise. Our expectation is, and we have studies from two think tanks to prove it, about 800,000 Pennsylvanians will lose their benefits as a result of these new policies.”

Stier says in addition to the people who will not be able to afford it, young people will forgo health insurance just because they don’t want to pay an estimated $1200 a year in extra taxes.

“Younger people typically have lower wages, they are just starting out. If they are going to get socked with a big tax increase because of the insurance they just will drop the insurance.”

Stier says what is even more scary is some employers will just drop offering insurance altogether, which will force people to buy coverage on the open market at high prices with increased deductibles.

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