skip to main content

H.R. 2891 (114th): To amend the Internal Revenue Code of 1986 to inflation adjust the $5,000 limitation with respect to dependent care assistance programs and flexible spending arrangements.

The text of the bill below is as of Jun 25, 2015 (Introduced).


I

114th CONGRESS

1st Session

H. R. 2891

IN THE HOUSE OF REPRESENTATIVES

June 25, 2015

introduced the following bill; which was referred to the Committee on Ways and Means

A BILL

To amend the Internal Revenue Code of 1986 to inflation adjust the $5,000 limitation with respect to dependent care assistance programs and flexible spending arrangements.

1.

Inflation adjustment for dependent care assistance programs and flexible spending arrangements

(a)

In general

Section 129(a)(2) of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph:

(D)

Inflation adjustment

In the case of any taxable year beginning after December 31, 2015, the dollar amounts in subparagraph (A) shall be increased by an amount equal to—

(i)

such amount, multiplied by

(ii)

the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which such taxable year begins by substituting calendar year 2014 for calendar year 1992 in subparagraph (B) thereof.

If any increase determined under this paragraph is not a multiple of $50, such increase shall be rounded to the next lowest multiple of $50.

.

(b)

Effective date

The amendment made by this section shall apply to taxable years beginning after December 31, 2015.