THE ‘REAL’ IRS SCANDAL YOU’VE HEARD NOTHING ABOUT!
An IRS Scandal Inseparable from Obamacare
The IRS attempts to save Obamacare by unilaterally declaring that it will disregard the law.
Thanks to ubiquitous if imperfectly honest press coverage, most Americans know about the IRS scandal involving tax-exempt applications from various Tea Party groups. The public is still, however, getting the mushroom treatment on two other outrages by that rogue agency. The media have devoted scant coverage to its theft of 60 million medical records, now the subject of a class action lawsuit, and they have been all but silent regarding the illegal IRS scheme to fund Obamacare’s federal insurance exchanges.
As scary as is the medical record theft, which I wrote about here last week, the more important of these two additional scandals involves IRS skullduggery relating to the exchanges. A year ago, the IRS finalized a regulatory ruling to the effect that it will issue tax credits through Obamacare’s federal insurance exchangesy is that such a big deal? Well, the IRS has been granted no legal authority, by the Affordable Care Act (PPACA) or any other act of Congress, to issue such credits. In fact, the ruling flouts the explicit language of Obamacare.
PPACA stipulates that all such assistance must emanate from state-run exchanges. Even if the federal government sets up an exchange in a state that has declined to do so, it wouldn’t be authorized to issue tax credits. And because 27 states have refused to set up exchanges, this restriction will cripple Obamacare. Without the ability to dole out tax credits and subsidies in more than half of the states, the Beltway bureaucrats attempting to implement the much-despised “reform” law will be hamstrung.
The IRS is attempting to save Obamacare by unilaterally declaring that it will issue tax credits through all exchanges, federal and state alike. Immediately upon the promulgation of this rule, a number of experts on the health care law pointed out that it was illegal. In a paper for Health Matrix, Jonathan Adler and Michael Cannon wrote, “The plain text of the Act only authorizes premium-assistance tax credits … for those who purchase plans on state-run Exchanges.”
Adler and Cannon go on to spell out the breathtaking scope of this IRS plan to offer tax credits through all exchanges: “[T]he IRS is attempting to create two entitlements not authorized by Congress.” Michael Gerson, one of the few who have addressed this in the MSM, puts it thus: “The IRS seized the authority to spend about $800 billion over 10 years on benefits that were not authorized by Congress.” In other words, the IRS has arrogated “The Power of the Purse,” a right reserved to Congress by the Constitution.
This is obviously an unprecedented and dangerous power grab. And it gets worse. Adler and Cannon also point out that the arbitrary IRS rule will allow it “to tax employers whom Congress did not authorize the agency to tax.” Just as PPACA stipulates that tax credits can only be issued through state-run exchanges, it also says that employer mandates can only originate from these entities. Therefore, the IRS isn’t legally authorized to fine noncompliant businesses in a state that has refused to set up an exchange.
Yet it clearly intends to do so. As it did with the tax-exempt applications of conservative groups and the confidential medical records of millions of U.S. citizens, the IRS plans to simply disregard the law. Because of the harm this feature of the rule will inflict on many businesses, it has generated several lawsuits. The most promising of these was filed last month in the U.S. District Court for the District of Columbia by a group of small businesses challenging the rule as an extralegal expansion of Obamacare.
According to Michael Carvin, one of the attorneys representing the group, “The IRS rule we are challenging is at war with [PPACA’s] plain language and completely rewrites the deal that Congress made with the states on running these insurance exchanges.” Another of the group’s lawyers put the rule in context thus: “ObamaCare is already an incredibly massive program. For the IRS to expand it even more, without congressional authorization and in a manner aimed at undercutting state choice, is flagrantly illegal.”
It will come as no surprise that this illegal expansion of Obamacare involved at least one of the IRS officials at the center of the Tea Party scandal. According to United Liberty’s Brian Gilmore, the regulation has short-lived Commissioner Steven Miller’s “fingerprints all over it.” Indeed, Gilmore reports that it was Miller who approved it: “Page 30400 of the Federal Register states you-know-who as having approved the regulation: ‘Steven T. Miller, [then] Deputy Commissioner for Services and Enforcement. Approved: May 16, 2012.’”
Interestingly, that was two weeks after Miller was informed that “applications for tax-exempt status by tea party groups were … singled out for extra scrutiny.” And yet we are told by the hot shot “reporters” of the establishment media that the metastasizing IRS scandals have nothing to do with Obamacare. In reality, the IRS scandals and the crime against democracy known as the “Affordable Care Act” are symptoms of a single disease, merely the two most obvious pustules of an administration scabrous with corruption.
As long as the voters allow this sick regime to stay in office, we can expect it to use the IRS and any other handy bureaucracy to target its political enemies and to issue illegal decrees. They have little respect for the law and less for the voters. There is only one cure for this disease: Obama, his congressional accomplices, and the enabling media must be replaced by people with at least a passing familiarity with ethics and integrity.
A few comments by ATB:
Call your Congressmen …Let them know… (that YOU know) they are obligated to stand up to these usurpation of powers by the Federal government now….
This is a must read…if left to stand …it is the Trojan Horse that destroys this nation…the Gestapho IRS has usurped the power of the purse and of Congress…
Read the above thoroughly and you’ll understand the arrogance of the IRS officials who testified before Congress…they understand completely what Congress doesn’t …they’ve made Congress completely irrelevant …the IRS has usurped their every power.
Once it was determined that the American people hated Obamacare and didn´t want it, this corrupt Administration went into action fitting its various Agencies with non-existent powers to do that which Congress won´t.
“[T]he IRS is attempting to create two entitlements not authorized by Congress.”
Once again, Obama is doing an end-run around Congress, knowing full well that Congress won´t get his agenda passed for him. So Obama creates powers he hopes no one will examine.
This is seminal to our liberty and freedom. Every news outlet, including talk radio, should let Americans know that this President doesn´t have the power to do half the things he is doing.
THAT is the real scandal here; enabling his Agencies to do that which the various ACTS don´t
Obama will continue throwing fastballs — from multiple fields..
….overwhelming and diluting any message the opposition might have…
Everything is on the line and he and his communist cabal are all in for 2014. America will cease to exist if they win.
Did you just get your email from the White House? Subject: Faith? …Letting you know how our caring and
decent president is helping those in OK …and today helping in NJ?…and how you too can join him …as he’s there to “steer you in the right direction”
He dares us to oppose him…as his jackals are ready to pounce:
A filibuster dare? Obama reportedly plans three simultaneous nominations to DC Circuit
By Debra Cassens Weiss
President Obama is reportedly planning a bold move after winning approval for Srikanth “Sri” Srinivasan for a spot on the influential U.S. Court of Appeals for the District of Columbia Circuit.
In a “more aggressive” strategy, Obama plans to nominate three people simultaneously to the federal appeals court, the New York Timesreports. “He will effectively be daring Republicans to find specific ground to filibuster all the nominees,” the story says. An announcement could come this week.
With Srinivasan’s confirmation, the court currently has four judges who are Democratic appointees and four who are Republican appointees. However, five out of six senior judges are Republican appointees, giving the court “a strongly conservative flavor,” the Times says.
Some names that have surfaced as possible nominees include Georgetown law professor Cornelia Pillard, who formerly worked for the American Civil Liberties Union and the NAACP Legal Defense and Education Fund; consumer and investor lawyer David Frederick, who worked for five years in the Solicitor General’s office; and appellate lawyerPatricia Ann Millett of Akin Gump, who worked for a decade in the Solicitor General’s office.
Democrats plan to schedule several confirmation votes on federal court nominees this summer, which could bring attention to the filibuster issue if votes are blocked. Some Democrats hope the publicity could lead to a rule change that would prevent filibusters of judicial nominees, the story says.