Charles Rangel (D-NY), chairman of the House Ways and Means Committee, on Tuesday told HHS Secretary Kathleen Sebelius that he was categorically opposed to taxing employer-provided health insurance—a tax that some Democrats hope will fund universal health coverage, reports The New York Times. Currently, employers get a tax deduction for the contributions they make for their employees’ healthcare insurance, and workers don’t report benefits as taxable income. Those who favor taxing healthcare benefits say it results in more controlled health spending by eliminating a subsidy. Max Baucus, (D-MT), chairman of the Senate Finance Committee, favors limiting the tax break on health insurance. Rangel, however, did not propose another source of funding for universal health coverage other than saying what was not an option. “I would not want to get involved in cutting hospital payments,” he said.
