I Still Hate

email forwards. I received this forward this morning:

"This pertains to every American citizen

"2011's Federal W-2 Tax Forms

"Should you want to verify this, go to http://www.thomas.gov/, enter "HR 3590" in the search box and look for "CRS Summaries." This is what you'll find.

"Title IX Revenue Provisions-Subtitle A: Revenue Offset
'(Sec. 9002) Requires employers to include in the W-2 form of each employee
the aggregate cost of applicable employer-sponsored group health coverage
that is excludable from the employee's gross income (excluding the value of
contributions to flexible spending arrangements).'

"Starting in 2011-next year-the W-2 tax form sent by your employer will be
increased to show the value of whatever health insurance you are provided.
It doesn't matter if you're retired. Your gross income WILL go up by the amount
of insurance your employer paid for. So you'll be required to pay taxes on a larger
sum of money that you actually received. Take the tax form you just finished for
2009 and see what $15,000.00 or $20,000.00 additional gross income does to
your tax debt. That's what you'll pay next year. For many it puts you into a
much higher bracket. This is how the gove! rnment i s going to buy insurance for
fifteen (15) percent that don't have insurance and it's only part of the tax increases,
but it's not really a 'tax increase' as such, it a redefinition of your taxable income.

"Also, go to Kiplinger's and read about the thirteen (13) tax changes for 2010 that
could affect you.

"Why am I sending you this? The same reason I hope you forward this to every
single person in your address book. People have the right to know the truth because
an election is coming in November. So vote intelligently, based on your values.
But also adjust your tax withholding, or increase your savings, so that you aren't
surprised and put in a jam when your federal income taxes are due on April 15, 2012.

"Also, for those who have independent children, their personal exemption DROPS from
$1,000 per child to only $500.00! That too will make a big difference for some families.

"DON’T REELECT ANYONE."

Of course, the forward is unsigned.

I sent the following reply to the one(s) who sent it to me. I realized my reply might get lost in the white noise of cyberspace, and I think this matter is something I'd like more people so see, so here it is.

"Before y'all get out the torches and pitchforks, make sure to read the first paragraph of the referenced Title IX, which includes: 'Deems any amount which exceeds payment of $8,500 for an employee self-only coverage plan and $23,000 for employees with other than self-only coverage (family plans) as an excess benefit.'

I have a sweet health plan (family plan), and my employer pays less than $14,000 per year on my plan. This is $9,000 per year less than this bill's lower limit for 'excess benefits.' My taxes will not go up, even though I have optimal coverage.

The next paragraph about the W-2, quoted in the email below, is logically required if the gov't is going to levy a tax on excess benefits. The bill reads that the W-2 will 'include . . . the aggregate cost . . . of health coverage' (Sec 9002). It's a no-brainer provision to make the whole section work.

The line in the email below [above] reading, 'the W-2 tax form sent by your employer will be
increased' is misleading; W-2s have slots for information that does not necessarily bear on how much we pay in taxes. If your employer is paying less than $23,000 per year (~$1,900 per month) for your health insurance, then the amount you pay taxes on won't go up.

In my estimation, the content of this forwarded email was composed by someone who decided before reading the bill that s/he didn't like it. I am troubled more by the lack of critical reading and thinking displayed here than by the prospect of paying higher taxes on a $23,000-per-year health plan.

Shalom,
emrys"

I'm all for torches and pitchforks. And if I'm going to stab someone with a pitchfork and burn their houses down with a torch, I want to be sure I'm doing it for the right reason. I'll be held accountable for the folks I elect and the reputations I smear; so I don't want to base my decisions on misleading emails.

Our values may indeed lead us to ask our legislators to reject HR 3590. Let's make sure it's the values that lead, not the idiots.

~ emrys