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H.R. 4618 (115th): To amend the Internal Revenue Code of 1986 to provide for a temporary moratorium on certain taxes affecting purchases of prescription medication.

The text of the bill below is as of Dec 12, 2017 (Introduced).


I

115th CONGRESS

1st Session

H. R. 4618

IN THE HOUSE OF REPRESENTATIVES

December 12, 2017

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 provide for a temporary moratorium on certain taxes affecting purchases of prescription medication.

1.

Temporary moratorium on tax on over-the-counter medications

(a)

HSAs

Subparagraph (A) of section 223(d)(2) of the Internal Revenue Code of 1986 is amended by striking only if such and all that follows and by inserting

only if—

(i)

such medicine or drug is a prescribed drug (determined without regard to whether such drug is available without a prescription) or is insulin, or

(ii)

such amount is paid during the period beginning on January 1, 2018, and ending on December 31, 2019.

.

(b)

Archer MSAs

Subparagraph (A) of section 220(d)(2) of the Internal Revenue Code of 1986 is amended by striking only if such and all that follows and by and inserting

only if—

(i)

such medicine or drug is a prescribed drug (determined without regard to whether such drug is available without a prescription) or is insulin, or

(ii)

such amount is paid during the period beginning on January 1, 2018, and ending on December 31, 2019.

.

(c)

Health flexible spending arrangements and health reimbursement arrangements

Subsection (f) of section 106 of the Internal Revenue Code of 1986 is amended by striking only if such and all that follows and by and inserting

only if—

(1)

such medicine or drug is a prescribed drug (determined without regard to whether such drug is available without a prescription) or is insulin, or

(2)

such expense is incurred during the period beginning on January 1, 2018, and ending on December 31, 2019.

.

(d)

Effective dates

(1)

Distributions from savings accounts

The amendments made by subsections (a) and (b) shall apply to amounts paid after December 31, 2017.

(2)

Reimbursements

The amendment made by subsection (c) shall apply to expenses incurred after December 31, 2017.