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15 November 2013

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How does the government know if you're insured? Interesting question. I assume there will be people who eligible for tax credits who will apply for the credits but not the insurance. Under the current system, my family's biggest deductible expense for several years was medical, since we were laying out 30% of our income for it (25% for insurance alone.) I thought that such enormous deductions would surely trigger an IRS audit, but it never did. I assume that was because it fell within IRS expectations and that our expenses were not atypical.

Those getting the Obamacare tax credit without bothering to get insurance would presumably be overlooked because they fell within IRS expectations. Of course, the NSA could just check the bank statements and tell the IRS...

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