Per Angie Drobnic Holan at PolitiFact.com:

Of all the falsehoods and distortions in the political discourse this year, one stood out from the rest.

"Death panels."

The claim set political debate afire when it was made in August, raising issues from the role of government in health care to the bounds of acceptable political discussion. In a nod to the way technology has transformed politics, the statement wasn’t made in an interview or a television ad. Sarah Palin posted it on her Facebook page.

[...]

And this was the heart of Sarah’s award winning entry:

The America I know and love is not one in which my parents or my baby with Down Syndrome will have to stand in front of Obamas "death panel" so his bureaucrats can decide, based on a subjective judgment of their "level of productivity in society," whether they are worthy of health care. Such a system is downright evil.

But minor copy editing might have won her the Truth-of-the-Year Award

The America I know and love is not one in which my parents or my baby with Down Syndrome will have to stand in front of Obamas their insurance company’s "death panel" so his its bureaucrats can decide, based on a subjective judgment of their "level of productivity in society profitability to the company," whether they are worthy of health care. Such a system is downright evil.

Tens of thousands of Americans die each year because of illnesses for which they were under-insured, and hundreds of thousands go into bankruptcy for the same reason. Sarah’s only errors were that she thought she was describing the future and that it would be government agencies rather than corporations.