Of Obamacare And Tax Liens
September 17, 2012 - 11:39 am
(h/t The Transom)
Sure, they say there won’t be any levies or liens…
“The law clearly specifies that the IRS will not use levies or file notices of federal tax lien if taxpayers have unpaid amounts related to the individual coverage provision. Moreover, taxpayers will not be criminally prosecuted for non-payment of this amount.”
Indeed, that’s supported by the ObamaCare statute. Sec. 1501(g)(2) makes it clear that the IRS cannot impose criminal penalties, levies, or liens. To be clear, the tax liability this refers to is the penalty for not complying with the individual mandate. For most families, the penalty will equal or exceed 2.5 percent of their adjusted gross income.
What about the other 19 taxes in ObamaCare? This fig leaf of protection only extends to the individual mandate penalty. What about failure to pay some of the other 19 new or higher taxes in ObamaCare? Someone, for example, not wanting to pay the new 3.8 percent surtax on savings would face not only the interest and failure to pay penalty described above, but also the criminal penalties, liens, and levies the statute deals with. Ditto for the medical device manufacturing tax, the tanning tax, the new limitations on HSAs and FSAs, etc.