RomneyCare has made its way to Congress in the form of S. 334 and it is bad news:

Mandatory Coverage

S. 334 would require every American to buy a Healthy Americans Private Insurance (HAPI) health insurance plan OR pay a penalty. Mandatory insurance hasn’t worked in car insurance, and the two states – Maine and Massachusetts — that have passed “universal health insurance coverage” are far from covering everyone.

$1.4 Trillion in NEW Federal Spending

By 2014, the federal government will spend between $1.3 trillion and $1.4 trillion on this new federal program, according to the CBO-JCT analysis of S. 334. Where is the government going to find $1.4 trillion each year?

Tax Increases

Under current law, employer-provided health insurance is a tax-free benefit – tax deductible for employers and excludable from an employee’s taxable income. In addition, the self-employed enjoy an income tax deduction. S. 334 would eliminate the current tax exclusion and other health care tax breaks and proposes to tax employers anywhere from 3 to 26 percent per employee. In the May 1, 2008, analysis of S. 334, CBO-JCT suggested these changes in the tax code will amount to a $400 to $500 billion tax increase per year.