IB 

Union Calendar No. 486 

114TH CONGRESS 

2D SESSION H. R. 5445 

[Report No. 114–627] 

To amend the Internal Revenue Code of 1986 to improve the rules with 

respect to health savings accounts. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 10, 2016 

Mr. PAULSEN (for himself and Mr. BURGESS) introduced the following bill; 

which was referred to the Committee on Ways and Means 

JUNE 17, 2016 

Additional sponsor: Mr. STIVERS

JUNE 17, 2016 

Reported with an amendment, committed to the Committee of the Whole 

House on the State of the Union, and ordered to be printed 

[Strike out all after the enacting clause and insert the part printed in italic] 

[For text of introduced bill, see copy of bill as introduced on June 10, 2016] 


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•HR 5445 RH

A BILL 

To amend the Internal Revenue Code of 1986 to improve 

the rules with respect to health savings accounts. 


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•HR 5445 RH

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Health Care Security 

5 Act of 2016’’. 

6 SEC. 2. ALLOW BOTH SPOUSES TO MAKE CATCH-UP CON7 TRIBUTIONS TO THE SAME HEALTH SAVINGS 

8 ACCOUNT. 

9 (a) IN GENERAL.—Section 223(b)(5) of the Internal 

10 Revenue Code of 1986 is amended to read as follows: 

11 ‘‘(5) SPECIAL RULE FOR MARRIED INDIVIDUALS

12 WITH FAMILY COVERAGE.— 

13 ‘‘(A) IN GENERAL.—In the case of individ14 uals who are married to each other, if both 

15 spouses are eligible individuals and either spouse 

16 has family coverage under a high deductible 

17 health plan as of the first day of any month— 

18 ‘‘(i) the limitation under paragraph 

19 (1) shall be applied by not taking into ac20 count any other high deductible health plan 

21 coverage of either spouse (and if such 

22 spouses both have family coverage under 

23 separate high deductible health plans, only 

24 one such coverage shall be taken into ac25 count), 


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1 ‘‘(ii) such limitation (after application 

2 of clause (i)) shall be reduced by the aggre3 gate amount paid to Archer MSAs of such 

4 spouses for the taxable year, and 

5 ‘‘(iii) such limitation (after applica6 tion of clauses (i) and (ii)) shall be divided 

7 equally between such spouses unless they 

8 agree on a different division. 

9 ‘‘(B) TREATMENT OF ADDITIONAL CON10 TRIBUTION AMOUNTS.—If both spouses referred 

11 to in subparagraph (A) have attained age 55 be12 fore the close of the taxable year, the limitation 

13 referred to in subparagraph (A)(iii) which is 

14 subject to division between the spouses shall in15 clude the additional contribution amounts deter16 mined under paragraph (3) for both spouses. In 

17 any other case, any additional contribution 

18 amount determined under paragraph (3) shall 

19 not be taken into account under subparagraph 

20 (A)(iii) and shall not be subject to division be21 tween the spouses.’’. 

22 (b) EFFECTIVE DATE.—The amendment made by this 

23 section shall apply to taxable years beginning after Decem24 ber 31, 2016. 


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1 SEC. 3. SPECIAL RULE FOR CERTAIN MEDICAL EXPENSES 

2 INCURRED BEFORE ESTABLISHMENT OF 

3 HEALTH SAVINGS ACCOUNT. 

4 (a) IN GENERAL.—Section 223(d)(2) of the Internal 

5 Revenue Code of 1986 is amended by adding at the end 

6 the following new subparagraph: 

7 ‘‘(D) TREATMENT OF CERTAIN MEDICAL EX8 PENSES INCURRED BEFORE ESTABLISHMENT OF

9 ACCOUNT.—If a health savings account is estab10 lished during the 60-day period beginning on the 

11 date that coverage of the account beneficiary 

12 under a high deductible health plan begins, then, 

13 solely for purposes of determining whether an 

14 amount paid is used for a qualified medical ex15 pense, such account shall be treated as having 

16 been established on the date that such coverage 

17 begins.’’. 

18 (b) EFFECTIVE DATE.—The amendment made by this 

19 section shall apply with respect to coverage beginning after 

20 December 31, 2016. 

21 SEC. 4. MAXIMUM CONTRIBUTION LIMIT TO HEALTH SAV22 INGS ACCOUNT INCREASED TO AMOUNT OF 

23 DEDUCTIBLE AND OUT-OF-POCKET LIMITA24 TION. 

25 (a) SELF-ONLY COVERAGE.—Section 223(b)(2)(A) of 

26 the Internal Revenue Code of 1986 is amended by striking 


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1 ‘‘$2,250’’ and inserting ‘‘the amount in effect under sub2 section (c)(2)(A)(ii)(I)’’. 

3 (b) FAMILY COVERAGE.—Section 223(b)(2)(B) of such 

4 Code is amended by striking ‘‘$4,500’’ and inserting ‘‘the 

5 amount in effect under subsection (c)(2)(A)(ii)(II)’’. 

6 (c) CONFORMING AMENDMENTS.—Section 223(g)(1) of 

7 such Code is amended— 

8 (1) by striking ‘‘subsections (b)(2) and’’ both 

9 places it appears and inserting ‘‘subsection’’, and 

10 (2) by striking ‘‘determined by’’ in subparagraph 

11 (B) thereof and all that follows through ‘‘ ‘calendar 

12 year 2003’.’’ and inserting ‘‘determined by sub13 stituting ‘calendar year 2003’ for ‘calendar year 

14 1992’ in subparagraph (B) thereof.’’. 

15 (d) EFFECTIVE DATE.—The amendments made by this 

16 section shall apply to taxable years beginning after Decem17 ber 31, 2016. 


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Union Calendar No. 486 

114TH CONGRESS 

2D SESSION H. R. 5445 

[Report No. 114–627] 

A BILL 

To amend the Internal Revenue Code of 1986 to 

accounts. improve the rules with respect to health savings 

JUNE 17, 2016 

Reported with an amendment, committed to the Comand ordered to be printed mittee of the Whole House on the State of the Union, 


srobinson on DSK5SPTVN1PROD with BILLS