Referring to the so-called “Cadillac tax” on high-end health plans, he said: “They proposed it and that passed, because the American people are too stupid to understand the difference.”
Gruber specifically was referring to the way the “Cadillac tax” was designed — he touted their plan to, instead of taxing policy holders, tax the insurance companies that offered them. He suggested that taxing individuals would have been politically unpalatable, but taxing the companies worked because Americans didn’t understand the difference.
Well, when you’re right, you’re right.
What’s the difference between a direct tax and a corporate tax? Overhead.