Obamacare Facts: Unconstitutional Taxes

Pinnacle Digest writes: Schiff leans on history to illustrate exactly how in the past the Supreme Court has given the government latitude to get around the Constitution. Schiff continues to excersise his superior knowledge of the Constitution and American History to denounce Obamacare and warn of a coming financial collapse.

In 1916, the Supreme Court said that in order to be constitutionally taxed as an excise, income must first be separated from its source. Schiff discusses the key court cases which provided a practical way to accomplish just that. The long road which led us here and saw the courts and prominent American companies wrestle with the altering of tax laws is explained.

We are reminded that, just as a tax on land based solely on its rental income is the same as a direct tax on the land itself, a tax on individuals based solely on their decision not to buy health insurance is a direct tax on individuals. This is where Schiff believes a major lack of freedom exists and firmly believes the taxes and or fines imposed by the Affordable Care Act are unconstitutional.

He puts forward a case study surrounding a hypothetical scenario of a $1 trillion income tax and the harsh variables which would put unfair strains on different states.

If the Supreme court believed that the tax was actually high enough to leave Americans with no rational choice other than to buy health insurance, Roberts would have ruled the tax unconstitutional. Schiff argues that those who can afford not to pay for insurance, will simply pay the lesser fine of $695 dollars and forego any coverage.

Schiff also perfectly summarizes that the Supreme court's observation that the tax is too low to be effective, as it may be the one thing the Court actually got right. Once the government realizes that it underpriced the fines, as millions of American's ditch health insurance to pay the fine, it will have no choice but to raise the tax rate substantially to stop healthy people from rationally dropping their coverage.

At this point, Americans will be forced to purchase health insurance in the precise manner the Supreme Court has just ruled to be unconstitutional.




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