Shortfalls In Expected Revenue Continue To Show The Real Cost Of ObamaCare

The Tax On Tanning Was To Help Pay For ObamaCare. “The tanning tax is one of the smaller taxes in a mosaic of levies and fee increases totaling about $409 billion through 2019 that Congress assembled to pay for the 2010 health-care overhaul.” (Andrew Zajac, “Tanning Tax Income Pales Compared With Estimate, Audit Finds,” Bloomberg, 10/13/11)

• ObamaCare’s Tax On Tanning Was Expected To Raise $200 Million In 2011. (“Estimated Revenue Effects Of The Manager’s Amendment To The Revenue Provisions Contained In The ‘Patient Protection And Affordable Care Act,” Joint Committee On Taxation Report, 3/20/10)

Unfortunately For ObamaCare, The Tanning Tax Revenues Are Much Lower Than Projected. “Revenue from a 10 percent excise tax on indoor tanning services mandated by the 2010 health-care overhaul law is falling short of projections, a government watchdog reported today.” (Andrew Zajac, “Tanning Tax Income Pales Compared With Estimate, Audit Finds,” Bloomberg, 10/13/11)

• Since ObamaCare Was Enacted, The Tanning Tax Has Only Contributed $54.4 Million Towards The $2.6 Trillion Cost Of ObamaCare. “The tax brought in $17.8 million in the last quarter of the 2010 fiscal year and $36.6 million in the first half of fiscal 2011, according to the report by J. Russell George, the Treasury Department’s inspector general for tax administration.” (Andrew Zajac, “Tanning Tax Income Pales Compared With Estimate, Audit Finds,” Bloomberg, 10/13/11; Office Of The Speaker Of The U.S. House Of Representatives, Report, 1/6/11)

ObamaCare’s Budget “Gimmicks” Are Not Adding Up

The CLASS Program Has Become A “Zombie” In The Federal Budget. “They’re calling it the zombie in the budget. It’s a long-term care plan the Obama administration has put on hold, fearing if could go bust if actually implemented. Yet while the program exists on paper, monthly premiums the government may never collect count as reducing federal deficits.” (Ricardo Alonso-Zaldivar, “‘Zombie’ In The Budget: Long-Term Health Care Plan,” The Associated Press, 10/8/11)

“Real Or Not, That’s $80 Billion Over The Next 10 Years.” (Ricardo Alonso-Zaldivar, “‘Zombie’ In The Budget: Long-Term Health Care Plan,” The Associated Press, 10/8/11) 

CLASS Program “Produces Phantom Savings.” “‘It’s a gimmick that produces phantom savings,’ said Robert Bixby, executive director of the Concord Coalition, a nonpartisan group that advocates deficit control.” (Ricardo Alonso-Zaldivar, “‘Zombie’ In The Budget: Long-Term Health Care Plan,” The Associated Press, 10/8/11)

• CLASS Was To Be Revenue Neutral But The Obama Administration Counted It Towards Reducing The Deficit. “‘That money should have never been counted as deficit reduction because it was supposed to be set aside to pay for benefits,’ Bixby added. ‘The fact that they’re not actually doing anything with the program sort of compounds the gimmick.’” (Ricardo Alonso-Zaldivar, “‘Zombie’ In The Budget: Long-Term Health Care Plan,” The Associated Press, 10/8/11)