Back to the question about if you can go to jail if you don't pay the health care penalty...
The IRS will be set up to collect the penalty, or give you a credit if you prove you have insurance. But the health care bill gives the IRS little power to enforce collections on the penalty. They can't use tradional measures like attaching your wages or sending you to jail. From the bill...
"In the case of any failure by a taxpayer to timely pay any penalty imposed by this section, such taxpayer shall not be subject to any criminal prosecution or penalty with respect to such failure."
On that same page, it says the Health and Human Services secretary shall not
"file notice of lien with respect to any property of a taxpayer by reason of any failure to pay the penalty … or levy on any such property with respect to such failure."
BTW, the penalty would be 2.5% of your income, or $695, whichever is higher.
The IRS could try to collect the penalty by holding back your tax refund, but you could adjust your witholding to avoid that.
One of the side effects of owing money to the government is to become disenfranchised with government. If all this comes about, it will be interesting to see how many appointees will bow out when it is discovered that they owe health care penalties. If there are many more ways to owe government besides taxes and health care penalties, it may be difficult to find those that will serve.
