Thursday, November 20, 2014

Smoking Gun: Obamacare Subsidies For States Without Exchanges Invented 2 Years After Law Passed

Big Government reports:
"What the administration is saying today," Vorse wrote on Thursday, "directly contradicts what HHS, Treasury, and the IRS did for the first two years of Obamacare’s implementation. It was not until many states opted out that the administration’s story began to change."

As the CEI pointed out in its news release: "Vorse's findings demonstrate that although HHS helped states develop a tax-credit calculator, the department initially set out to establish its federal exchange without a calculator and would not provide users any information about tax credits."

In his white paper, Vorse writes: "[T]he Obama administration and the Department of Health and Human Services required states establishing their own exchange to build a tax credit calculator. However," he continued, "for two years after passage of the law, they did not require the same for the federal exchange. These actions provide additional support that the Obama administration and HHS understood that only states that established their own exchanges were entitled to tax credits—the exact opposite of what they have been arguing in federal court."

Vorse presents a compelling case that after the President signed the Patient Protection and Affordable Care Act (Obamacare) on March 23, 2010 "the IRS initially began developing a rule to make tax credits available only on exchanges established by a state. As the findings outlined below show, HHS had a similar understanding of the law."
Imagine that.