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posted at 1:55 pm on November 16, 2011 by Ed Morrissey
Under ObamaCare, the IRS becomes the arbiter of health-insurance acceptability. Now Barack Obama needs the IRS to rescue ObamaCare entirely, thanks to a massive legislative defect that the President has no hope of rectifying in the new Congress. Thanks to sloppy legislative work, the PPACA’s subsidies to taxpayers won’t apply in states that refuse to create exchanges — which means that the states have a clear mechanism to block ObamaCare’s implementation.
That is, unless the IRS just bypasses Congress and corrects the law:
The Patient Protection and Affordable Care Act offers “premium assistance”—tax credits and subsidies—to households purchasing coverage through new health-insurance exchanges. This assistance was designed to hide a portion of the law’s cost to individuals by reducing the premium hikes that individuals will face after ObamaCare goes into effect in 2014. (If consumers face the law’s full cost, support for repeal will grow.)
The law encourages states to create health-insurance exchanges, but it permits Washington to create them if states decline. So far, only 17 states have passed legislation to create an exchange.