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The Key Passage From the Healthcare Ruling

It’s the taxes, stupid.

Ari Melber

June 28, 2012

If you read one part of the Supreme Court’s ruling upholding President Obama’s healthcare law, make it this breakdown of the Constitution’s boundaries for Congress’s power. This is the heart of the case:

Although the breadth of Congress’s power to tax is greater than its power to regulate commerce, the taxing power does not give Congress the same degree of control over individual behavior. Once we recognize that Congress may regulate a particular decision under the Commerce Clause, the Federal Government can bring its full weight to bear. Congress may simply command individuals to do as it directs. An individual who disobeys may be subjected to criminal sanctions. Those sanctions can include not only fines and imprisonment, but all the attendant consequences of being branded a criminal: deprivation of otherwise protected civil rights, such as the right to bear arms or vote in elections; loss of employment opportunities; social stigma; and severe disabilities in other controversies, such as custody or immigration disputes.

By contrast, Congress’s authority under the taxing power is limited to requiring an individual to pay money into the Federal Treasury, no more. If a tax is properly paid, the Government has no power to compel or punish individuals subject to it. We do not make light of the severe burden that taxation—especially taxation motivated by a regulatory purpose—can impose. But imposition of a tax nonetheless leaves an individual with a lawful choice to do or not do a certain act, so long as he is willing to pay a tax levied on that choice.

The Affordable Care Act’s requirement that certain individuals pay a financial penalty for not obtaining health insurance may reasonably be characterized as a tax. Because the Constitution permits such a tax, it is not our role to forbid it, or to pass upon its wisdom or fairness.

In politics, taxes matter because they are so unpopular. For the Supreme Court, however, the taxing power is crucial here because it enables Congress to advance a national policy without endangering liberty. You may have to pay for your healthcare decisions—that was true before this law passed—but you will not be punished, sanctioned, deprived or jailed for them.

Ari MelberTwitterAri Melber is The Nation's Net movement correspondent, covering politics, law, public policy and new media, and a regular contributor to the magazine's blog. He received a Bachelor of Arts in Political Science from the University of Michigan at Ann Arbor and a J.D. from Cornell Law School, where he was an editor of the Cornell Journal of Law and Public Policy. Contact Ari: on Facebook, on Twitter, and at amelber@hotmail.com. Melber is also an attorney, a columnist for Politico and a contributing editor at techPresident, a nonpartisan website covering technology’s impact on democracy. During the 2008 general election, he traveled with the Obama Campaign on special assignment for The Washington Independent. He previously served as a Legislative Aide in the US Senate and as a national staff member of the 2004 John Kerry Presidential Campaign. As a commentator on public affairs, Melber frequently speaks on national television and radio, including including appearances on NBC, CNBC, CNN, CNN Headline News, C-SPAN, MSNBC, Bloomberg News, FOX News, and NPR, on programs such as “The Today Show,” “American Morning,” “Washington Journal,” “Power Lunch,” "The Last Word with Lawrence O'Donnell," "The Joy Behar Show," “The Dylan Ratigan Show,” and “The Daily Rundown,” among others. Melber has also been a featured speaker at Harvard, Oxford, Yale, Columbia, NYU, The Center for American Progress and many other institutions. He has contributed chapters or essays to the books “America Now,” (St. Martins, 2009), “At Issue: Affirmative Action,” (Cengage, 2009), and “MoveOn’s 50 Ways to Love Your Country,” (Inner Ocean Publishing, 2004).  His reporting  has been cited by a wide range of news organizations, academic journals and nonfiction books, including the The Washington Post, The New York Times, ABC News, NBC News, CNN, FOX News, National Review Online, The New England Journal of Medicine and Boston University Law Review.  He is a member of the American Constitution Society, he serves on the advisory board of the Roosevelt Institute and lives in Manhattan.  


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