This is so ridiculous. Someone has to pay the taxes. It's either the giver or the receiver. Since you cannot compel someone to give someone else a "gift," then it only makes sense that the receiver of the benefit should pay the taxes owed. Or would they prefer that the general public pay the taxes on their behalf?
It may be possible that the insurance system is a big part of what drives prices up.
I think that's exactly right! Insurance makes it possible for every person to be a deep pocket. No doubt, the medical community took advantage of that. There is a reason why medical costs bear no relationship whatsoever to people's earnings.