Yes, Obamacare goes into play soon, so be prepared for the tax man to bring a bill.
Yay.
We're going to talk to Mike Villardi today.
He worked for the IRS for 22 years as a criminal investigator.
He's going to share with us what exactly is happening with Obamacare today.
And of course, we all pray that it will be repealed so that we can have a good health care plan put together.
Mike, thank you so much for being here.
Hey, thank you for having me, Gigi.
Appreciate it.
So we're talking about Obamacare and the IRS, and they're just not ready, are they?
No, they're not.
They're not ready.
Look, two things have happened.
One is funding has dried up.
So there is a hiring freeze now at the IRS.
And in order to implement Obamacare, they're going to need some additional personnel.
Because what's going to have to happen is this.
They're going to have to send out letters to everybody that does not have health insurance starting in 2014.
Now that's going to be done via your computer.
What they're going to do is they're going to require on your W-2s that it shows whether you are covered by health insurance or not.
In other words, if your employer is providing health insurance for you or not.
Now, if you don't have health insurance, you will get a letter generated by the computer stating that because the IRS has found that you don't have health insurance, you're going to be hit with a bill, and they're going to send you a tax bill.
But you have 30 days to either get the health insurance or supply proof that you have some sort of other insurance that would be okay with them so that you wouldn't have to pay this Obamacare tax.
Okay, what about these Cadillac programs that they have?
These people with excellent healthcare, how does that work with the IRS?
Well, what's going to happen is there's going to be up to a 40% tax, called the Cadillac tax, for you to keep your existing healthcare.
What Obamacare really seeks to do is put everybody under a government plan.
And that government plan, of course, is going to be much worse than anything that you have now.
So they're going to make you pay a fat premium for keeping your health insurance.
So if your health insurance costs you $10,000, the IRS or the government's going to come in and charge you an extra $4,000 just to keep your $10,000 plan.
Well, we thought we had problems with our health insurance before, right?
Oh yeah, this is the biggest nightmare.
Well, who's benefiting from this, Mike?
Is it the IRS or the healthcare companies?
Who's benefiting?
The government takes control.
It gives the government more control.
So if you're a proponent for bigger government, the people that run the government now have more power.
They now have power over your healthcare, where they didn't have that in the past.
It also really makes government much bigger.
Because it goes places it's never gone before at a tremendous cost.
So there's $1.7 trillion in new taxes that's wrapped up in Obamacare, which is going to devastate an already weak economy.
And they're going to be able to really keep track of people now they're data mining, as I understand.
The IRS is actually using data mining to keep track of everybody, whether it's travel or purchases.
So pretty much they can hijack anything, it seems like, to get money out of you.
Yeah, I mean, the real issue with the IRS is they were given an extra $640 million in 2009.
That money went to hire additional employees, so they grew the size of the IRS.
Since then, Congress has not given them any additional appropriations.
So they've actually had some buyouts to kind of get the IRS back to where it was, you know, back in 2009 before they expanded it.
And because it's just that, you know, like I said, back in 09, I think that the, you know, the Democrats had control of everything.
So they were able to, to appropriate that money.
Now they don't.
So there's no extra funding going towards the IRS.
Now I hear there's also a sequester on the personnel sometime this summer.
Yes.
Yeah, it appears to me that they're going to, my understanding is, get every other Friday off for at least five Fridays.
So it looks, unless something has changed starting in June, that everybody's going to receive five unpaid days.
Well, that'll give them less time to hunt everybody down for insurance.
Yeah, well the IRS, really the manpower of the IRS, I mean they've been kind of zapped because identity theft has been such a growing crime that they were forced to put a lot of personnel and time and effort into stopping it.
Can you elaborate more on the identity theft part of it?
Yeah, let me explain to you how these schemes work.
When I was with them, for example, that's when I was first getting started, they were, you know, paying people to get social security numbers.
And at the time they were using Puerto Rican social security numbers, Chris.
If you're in Puerto Rico, you don't have to file taxes because Puerto Rico is not a state.
Because it doesn't have statehood, there's no law saying that you have to file a tax return.
So they're taking these Puerto Rican Social Security numbers, they were doing false tax returns with them, and generating large refund checks from the false returns.
How would that work?
It's simply this.
Let's say you work for the Ford Motor Company, okay?
And you have their W-2 and you have all their, you know, corporate ID number and everything else.
All you do is you change the information on it so it looks like some other person whose social security number that you stole also worked for Ford and they had a large amount of withholding.
So you'd say that they made $50,000 but they withheld $20,000 in federal taxes and when you put in for a refund you're going to ask for 10 of the 20,000 back.
That's how it would work.
And then the IRS would send you a $10,000 check.
And what they were doing was they were sending these checks to the projects and, you know, they had certain places they'd go to and they'd get the checks, cash them, and billions of dollars literally walked out the door because of identity theft.
Then, after they burned through the Puerto Rican numbers, then they started using people on welfare, people who, you know, They were buying this information.
I mean, if you go to your doctor, your family doctor, they're going to ask for your social security number.
Well, if you get a person that's in that doctor's office that makes $10 an hour, we'll say, hey, listen, we'll give you $50 for every person's information you give us.
Okay?
Yeah, all of a sudden you got a problem.
So, because the information has become so accessible, you know, they only need three things.
Your address, your date of birth, and your social security number to create a false tax return.
Well, now with all the hacking too, I'm sure that's probably doubled as far as the problems.
Absolutely.
It's become the largest growing crime in the country and particularly it's false returns with the Internal Revenue Service.
So it's really caused a lot of problems and they've been forced to put a lot of manpower and time and effort behind it to resolve it because they really weren't paying attention to it when it first started happening and it just mushroomed and grew.
And so now they're in the position where they're forced to deal with it because there's just so much money walking out the door.
Because once they issue that check, you know, they're probably not going to see it again.
And then the real person, you know, says, hey, you know, you owe me this money because I work for it, which is how I let my pay.
And I have a legitimate refund coming to me.
So they pay out the bad refund.
Then I got to pay out the good refund.
And before you know it, it ends up being billions upon billions of dollars.
Now you were a criminal investigator for the IRS for 22 years.
Yes.
And you're helping people with their problems now with your own company.
Yeah, that's right.
That's right.
And I've had a lot of success because of my experience with the IRS.
And if anybody out there is having an issue with either an overly aggressive revenue officer or an audit situation where they feel they're being unfairly treated, they could definitely call my toll-free number, which is 888-873-8825, or simply go to my website, which is www.MikeVillardiEA.com.
And you can look at my testimonial letters, my history, my background, and if I can help you, please call me.
How is the IRS going to enforce people who don't have health care or maybe don't have the right health care to fit in their requirements?
Okay, what's going to happen is in the legislation that was passed, they wanted to make sure there's no interest and no penalty for this tax.
Okay, so what they're going to do is it's going to be a tax that's going to sit on your record.
And when you go to claim your refund, if you owe them the money, it'll come out of any refund that the IRS was going to originally pay you.
That's how they're going to deal with it.
There's not going to be any knocking on your door.
At least there's not supposed to be.
Right.
What about wage garnishment?
No, that's not supposed to happen either.
I like how you said that.
It's not supposed to happen.
No, these cases, Obamacare cases, should not be going to ROs.
They basically should just sit in the computer, and when they're paid, they're paid.
And if the IRS owes you money at any time, they'll take it from that.
That's my understanding of how it's supposed to work.
Because if these things start going to enforcement, it's going to be such a nightmare that the government is just not going to be able to handle.
Because who are you taxing?
You're taxing people that don't have enough money to have health insurance.
You're taxing the poorest of the poor, in a sense.
That's what you're doing.
And they're the least likely to pay, the least able to pay.
So, the way they set it up is so that it'll sit on the computer and then when you put in for a refund, you got to remember a lot of these people put in for the earned income credit.
So, They filed to get money.
Well, when they go to file to get money in 2015, what they're going to find is the IRS is going to grab a chunk of that money because of the Obamacare tax.
Well, the natives will definitely not like that.
No, I don't think anyone's going to like it.
I mean, I think that this is just bad law.
Excuse me.
I mean, people are going to really see how bad this is starting this year.
Starting this year, but really next year when they start getting those bills in the mail.
Well Mike, one more time I'd like to tell everybody, the phone number is 888-873-8825 if you want to give Mike a call.
If you're having an IRS problem, I'm sure more people will be experiencing that here in the next year with all the new changes.
Or maybe the Obamacare Affordable Health Care Act will be repealed.
We never know.
That's true.
Hopefully it will be.
Alright, well thank you so much for joining me.
Thank you for having me.
If you want to know more about what really happens with our tax dollars, check out The American Dream and The Invisible Empire on our InfoWarshop.com.
It'll kind of explain to you a little bit more about the truth about where our money goes.