March 27, 2012 10:43 am

Supreme Court Considers Obamacare

The U.S. Supreme Court is determining whether the personal mandate for every individual to carry health coverage is constitutional. This personal mandate is set to take effect in 2014; those who refuse to carry health coverage will be subject to a penalty collected by the IRS. Arguments on the constitutionality of Obamacare are set for the end of March, with a final decision expected by the end of June.

Two former IRS commissioners, Mortimer Caplin and Sheldon Cohen, have submitted briefs arguing that the court cannot render a decision as yet because the case is being presented too early. Essentially, they are saying that a constitutional challenge cannot be heard before the personal mandate takes effect in 2014.

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Tax Glossary

Accelerated depreciation

Depreciation methods that allow faster write-offs than straight-line rates in the earlier periods of the useful life of an asset. For example, in the first few years of recovery, MACRS allows a 200% double declining balance write-off, twice the straight-line rate.

More terms