Obamacare battle turns into Trump vs. the IRS

  • CNBC | by: Jake Novak |
  • 10/21/2017 12:00 AM
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A funny thing happened on the way to making America great again.

The IRS got in the way.

Even as the Trump administration continues to move to dismantle Obamacare, the Internal Revenue Service has apparently thrown a big wrench into the effort by telling tax preparers that it will block or suspend processing of 2017 income tax returns that do not comply with Obamacare rules requiring filers to disclose their health insurance status.

Back on his first day in office President Trump signed an executive order calling on the "heads of all executive departments... to waive, defer, grant exemptions from, or delay the implementation of any provision or requirement of the (Affordable Care) Act that would impose a fiscal burden on any State or a cost, fee, tax, penalty, or regulatory burden on individuals, families, healthcare providers, health insurers, patients, recipients of healthcare services, purchasers of health insurance, or makers of medical devices, products, or medications."

The IRS responded in February, with a "thanks, but no thanks," statement, saying that barring a legislative change, it will continue enforcing the Affordable Care Act, while "taxpayers remain required to follow the law and pay what they may owe."
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