LegalNewsline | Obamacare scofflaws to have tax refunds withheld

LegalNewsline | Obamacare scofflaws to have tax refunds withheld: "WASHINGTON (Legal Newsline)-The Internal Revenue Service in the coming years will withhold refunds belonging to taxpayers who cannot show that they have adequate health insurance, an official told a congressional panel Thursday.

Signed into law last month, the landmark Patient Protection and Affordable Care Act requires, among other things, that most Americans have medical coverage by 2014 or face financial penalties. Two years after the mandate begins, the fine for lacking qualifying insurance can reach $2,085.

Appearing before the Senate Finance Committee, a senior IRS official reiterated IRS Commissioner Douglas Shulman's earlier statement to Congress that the agency won't perform audits to determine if taxpayers are properly insured.

To identify taxpayers without adequate health coverage, the IRS instead plans to use document-matching software. The IRS says it will notify taxpayers of the fine if the agency determines minimal insurance coverage is lacking."