When President Obama told attendees at this month’s White House forum on health care reform that there were “no sacred cows,” and “all options are on the table,” few suspected he meant taxing health care benefits, as he campaigned hard last year against Sen. John McCain (R-Ariz.) for proposing just that.
However, at a recent Congressional hearing, when Sen. Ron Wyden (D-Ore.) raised the issue with presidential budget director Peter Orszag, Orszag said making benefits taxable should “most firmly should remain on the table.” Wyden has crafted a health care reform proposal of his own that would tax benefits.
