Well you sheeple voted for him, and wanted Obamacare, it’s here, deal with it. It’s no one’s fault but your own for signing up in the first place. Had you banned with us, “We the People”, the law would fail faster.
H&R Block, the nation’s largest retail tax preparation company warns that the newly released Obamacare tax code, officially called the Affordable Care Act, is likely to confuse millions of taxpayers who try to tackle their tax returns for 2014.
“Now that the Affordable Care Act has made health care a tax issue, no one can understand it,” H&R Block flatly tells taxpayers in a video that resides on its dedicated Obamacare web site.
A former IRS Commissioner agrees, and cautions that the new tax requirements will be a “shock to the system,” especially afflicting low-income earners who have never itemized on their tax return.
The tax preparation giant — with 24 million tax clients worldwide — reports that the Obamacare tax rules now constitute “the biggest tax code change in the last 20 years.”
The facts are folks, all of you who received subsidies are screwed, and that’s what Obama does best, screw the people.
H&R Block’s point is IRS Publication 5187, which attempts to explain to taxpayers how to comply with the new Obamacare tax requirements. That publication runs for a total of 21 single-spaced pages.
The new tax code regulations will apply to all Americans who file 2014 tax returns. Obamacare users may discover that they need to repay the government for the subsidies they received to cover their health insurance premiums. A few will discover they were not entitled to insurance at all.
Other taxpayers also will find their refunds are smaller, due to penalties incurred because they didn’t enroll in a government-approved health plan.
Penalties for non-compliance with Obamacare have tripled since 2013, from $95 to an average of $301, according to an email to The Daily Caller from software giant Intuit which runs TurboTax, a competitor to H&R Block.
Obama can take his penalty and shove it. If Al Sharpton doesn’t have to pay taxes, then those who don’t have insurance don’t have to.
The biggest majority of the fools who signed up are low income and qualify for the subsidies.
H&R Block’s Tax Institute found in a national survey released last fall that nearly three out of four low-income earners were not aware of the need to file anything with the IRS because of their Obamacare insurance.
“Lower-income respondents (72%) are significantly less likely than other income brackets to be aware of the law,” the Institute reported.
Former IRS Commissioner Mark W. Everson, now vice chairman of Alliantgroup, warns the new Obamacare requirements will deliver a “shock to the system.”
“Low income filers are not used to itemizing and it will be a big challenge for them,” he noted in an interview with TheDC. “You’re introducing a whole new level of complexity.”
Grace Marie Turner, president of the non-profit Galen Institute and a critic of Obamacare, calls the new IRS filing requirements “a nightmare.”
“People don’t even know that they have to comply with this law through their tax filing,” she said in an interview with TheDC.
At the center of the Obamacare tax rules are three new IRS health-related forms.
This one will be sent to the estimated seven million Obamacare enrollees who received a federal subsidy.
To prove they were entitled to subsidies, recipients will have to fill out a second document, Form 8962.
Mark Jaeger, a tax team leader at the software company Tax Act, which competes with H&R Block, says Obamacare recipients will be “most definitely” confused by Form 8962.
“If they’re trying to do it on their own doing, and do it by hand, that’s going to be pretty difficult for the user,” he told TheDC.
Turner agrees. “Millions of people who were used to doing a simple 1040 EZ form are going to be required, now, to fill out this complicated 8962 tax form.”
Since these low income one are mostly those who signed up like the damn fools they are, they can’t afford to pay accountants everytime tax time is here.
A third form, 8965, is for taxpayers who did not have a government-approved health insurance plan in 2014 and wish to calculate their penalty. The penalty will either be a flat amount or there will be a penalty for the tax filer, spouse, every child and dependent in a family. Form 8965 also is used if taxpayers believe they are entitled to an exemption.
To arrive at their penalty, Form 8965 requires taxpayers to first calculate their income “threshold,” and detail it for every month of the year. The income threshold table is not part of the regular IRS instructions and must be acquired from the ACA section of the IRS web site.
The calculation is so complicated the IRS advises, “Taxpayers should use the worksheets located in the Instructions to Form 8965, Health Coverage Exemptions, to figure the shared responsibility payment amount due.”
Andrew Townsend, another tax analyst for Tax Act, agreed in an interview with TheDC that the 8965 “calculation is rather complicated.”
“It’s not something people are going to be able to find on their return,” he said. “It is a totally separate calculation that they’ll be needing to do.”
Now the IRS claims to be under staffed, and when you call, you will wait 34 minutes, and only basic questions will be ansered.
The HHS last September allocated $60 million to 90 community and left-leaning activist groups to pay for “navigators,” people who are supposed to advise Obamacare participants.
The navigators, however, were only trained to assist with signing up for Obamacare — not how to “navigate” the law’s complicated tax requirements.
H&R Block has indicated that Obamacare tax revenue could generate a windfall profit of more than $104 million for his company just this year.
Company CEO Bill Cobb told Reuters on Jan. 7 that up to 25 percent of H&R Block’s client base might be required to fill out the new Obamacare IRS forms. He said his company could earn between $5 and $30 per Obamacare document.
This means that H & R Block could earn about $105 million this year.
This Obama fiasco has prompted the company to air a $200 million ad telling folks where to go to get the paperwork done properly. More money out of your pocket. But you sheeple voted for him, deal with it.