We have been documenting the collusion between govt and healthcare companies for as long as we have written about govt collusion with Wall Street, Defense, and any company that has enough money to donate to political campaigns to keep politicians employed, and living outside the laws they pass. However, it’s refreshing to see a govt official actually admit under oath that they ignore the law when it applies to healthcare companies. Yep, John Koskinen, Commissioner of the Internal Revenue Service, admitted in a Circuit Appeals Court reply that “he did not and will not investigate and collect taxes, from the taxpayers identified giving and receiving kickbacks”.
If you’re not aware of the kickback gambit in the healthcare industry, I highly recommend reading Denninger’s piece on this topic, that also addresses the anti-trust laws that have been violated over decades, that drive out the competition so doctors, hospitals, and insurance companies can charge what ever they can get away with, which has been sufficient to cause govt spending on healthcare to exponentially grow 9.3% PER YEAR for 35 years, and drive manufacturing businesses out of the country, and bankrupt our country to the point of actual destruction.
The kickback in the healthcare industry is the difference between the bill you receive, and what is re-priced for the insurance company on the “explanation of benefits” statement. Just like a debt that has been forgiven, this amount is a taxable event to the IRS, which does not miss an opportunity to tax anything that moves, unless it’s a big slithering political donor. This gift to the healthcare industry is what the IRS commissioner says “”he did not and will not investigate”.
Obamacare is a death spiral for the simple reason that these abuses were never addressed, and made worse by FORCING more people to participate in this fraudulent system. Throw in the lies about the FDA’s bogus Food Pyramid that has benefited the processed food industry, with the consequences of an obesity and diabetes epidemic; coupled with other propaganda, like the great cholesterol con, that has made the sellers of Statin drugs very rich at the expense of patients and tax payers; and you have a healthcare system that is a fraudulent joke. Luckily, all Ponzi schemes come to an end. Unfortunately, just like the people that did not need to be hoodwinked by Bernie Madoff, way too many people will be sacrificed by this ignored con when the house of cards crumbles, which will be very noticeable next year.