This paper from Curtis S. Dubay from the Heritage Foundation investigates the new taxes US government is about to impose, in order to finance Obama’s health care reform. Higher Medicare taxes would push the top average marginal tax rate even higher than already scheduled. Currently, the top federal tax rate is 35 percent, but President Obama has proposed to allow it to increase to 39.6 percent. In addition, the House of Representatives’ version of health care reform includes a 5.4 percent surtax on incomes over $500,000 a year.