If You're A State And You Don't Set Up An Exchange, That Means Your Citizens Don't Get Their Tax Credits

Halbig v. Burwell and King v. Burwell are the most important and hotly contested legal challenges involving the Patient Protection and Affordable Care Act, or ObamaCare. (Along with my sometime coauthor Jonathan Adler, I had something to do with those cases happening.) The central issue is whether the PPACA allows the IRS to issue tax credits through health-insurance Exchanges established by the federal government. Said government argues it’s implausible that Congress intended to withhold tax credits in states that don’t establish Exchanges. On Tuesday, the D.C. Circuit set off a firestorm when it ruled in Halbig that the PPACA’s language authorizing tax credits “through an Exchange established by the State” cannot be reasonably construed to authorize them in the 36 states with federal Exchanges. On the same day, the Fourth Circuit reached the opposite conclusion in King. On Thursday, however, the plaintiffs’ interpretation got another boost from an architect of the PPACA named Jonathan Gruber.

http://www.forbes.com/sites/michaelcannon/2014/07/25/obamacare-architect-jonathan-gruber-if-youre-a-state-and-you-dont-set-up-an-exchange-that-means-your-citizens-dont-get-their-tax-credits/