TaxpayersIf you take out money from a Health Savings Accounts, Flexible Spending Accounts or Archer Medical Savings Accounts (HSA) and don't use it for medical expenses, the tax penalty has increased to 20%. Over-the-counter drugs are now excluded as an eligible medical expense.
As of January 2013, you will only be able to save $2,500 pre-tax through your HSA, down from $5,000 now. Also, medical expenses must be at least 10% of income before you can deduct the amount over the limit. You can deduct medical expenses above 7.5% of income now.
In 2013 - If you make more than $200,000 ($250,000 for married couples), you will be assessed an additional 0.9% Medicare hospital tax on your income and self-employment profits above the limit. You will also be taxed an additional 3.8% on the lesser of (a)investment income such as dividends and capital gains or (b)adjusted gross income that is above the threshold. (Source: Smart Money, What Obamacare May Mean for Taxes; Forbes, Will You Pay the New Obamacare Tax?; Americans for Tax Reform, Five Worst Obamacare Taxes Coming)
In 2014 - The most widespread change occurs in January 2014, when all taxpayers are required to have health insurance or pay an additional tax. In 2014, the tax will be 1% of your adjusted gross income that is above the taxable minimum income. (In 2011, the taxable minimum income was $9,500 for individuals under 65, and $19,000 for couples. For more, see IRS 501). The tax rate will rise to 2% in 2015, and 2.5% in 2016.
However, your tax can't be less than a base fee for every adult. The base fee is $95 in 2014, $395 in 2015, and $695 in 2016. After that, the base few will rise with the CPI. The base fee for each child is half the adult fee. However, no family will pay a base fee that is more than three times the adult rate. For example, no matter how many children you have, the base won't be more than $285 (3 X $95) in 2014.
Here's another limit on the tax. No matter your income, you won't have to pay more than the cost of purchasing the "bronze" health insurance plan on the exchanges. The CBO estimates this to be in the neighborhood of $4,500 for individuals and $12,000 for families. (Source: Factcheck.org, How Much Is the Obamacare Tax?)
BusinessesLess than 25 employees - If you provide health insurance, the average wage of your employees is less than $50,000, and you pay at least half of the premiums, you can get a tax credit for up to 35% of the cost as of 2010. This will go up to 50% in 2014. This doesn't apply to the health insurance costs of owners. For more details, see About Small Business Tax Credits. To see if you qualify, go to Small Business Tax Credit.
50 or more employees - In 2014, employers who refuse to provide health insurance must pay an excise tax of $2,000 per employee, except for the first 30 employees. To help them find the cheapest plans, businesses with fewer than 100 employees can use the state-run exchanges in 2014. (Sources: How Obamacare Affects Small Businesses); Washington Post Factchecker, Obamacare Tax Hikes)
All businesses - They can get Federal financial assistance if they offer health insurance to early retirees 55-64. In 2013, they can get a tax credit of 28% of drug costs if they offer prescription coverage for retired employees. For details, go to ERRP and Helping Small businesses with Obamacare. Here's more on How Obamacare Affects Small Businesses.
In 2018 - Business who offer high-cost health insurance plans will be levied a 40% excise tax. These plans have premiums of at least $10,200 (individuals) or $27,500 (families), and are usually needed by those in dangerous jobs. (Source: Kaiser, Cadillac Tax Explained, March 18, 2010; Tax Impacts of Obamacare)
Indoor tanning services - Are now levied an excise tax of 10% of the actual cost of tanning. (For details, Tanning Salon Excise Taxes)
Medical Device Manufacturers - In 2013, they will be levied a 2.3% excise tax on gross sales. (Source: Tax Impacts of Obamacare)
Prescription Drug Makers and Importers - Are levied an annual fee. (Source: Tax Impacts of Obamacare)
Corporations - In 2014, the estimated tax payments factor will increase by 15.75% for corporations with assets of at least $1 billion. For details, see Health Care Business Tax