Hearing Aid Assistance Tax Credit Act 2015

To amend the Internal Revenue Code of 1986 to allow a credit against income tax for the purchase of hearing aids. 1. Short title This Act may be cited as the Hearing Aid Assistance Tax Credit Act 2015 2. Credit for hearing aids (a) In general Subpart A of part IV of subchapter A of chapter 1 25E. Credit for hearing aids (a) Allowance of credit In the case of an individual, there shall be allowed as a credit against the tax imposed by this chapter an amount equal to the amount paid during the taxable year, not compensated by insurance or otherwise, by the taxpayer for the purchase of any qualified hearing aid. (b) Qualified hearing aid For purposes of this section, the term qualified hearing aid (1) which is described in sections 874.3300 or 874.3305 of title 21, Code of Federal Regulations, and is authorized under the Federal Food, Drug, and Cosmetic Act (2) which is intended for use— (A) by the taxpayer (or the spouse of the taxpayer in the case of a joint return), or (B) by an individual with respect to whom the taxpayer, for the taxable year, is allowed a deduction under section 151(c) (relating to deduction for personal exemptions for dependents). (c) Limitations (1) Maximum amount The amount allowed as a credit under subsection (a) shall not exceed $500 per qualified hearing aid. (2) Limitation based on modified gross income (A) In general In the case of a taxpayer whose modified adjusted gross income exceeds $200,000 for any taxable year, the amount allowed as a credit under subsection (a) for such taxable year shall be zero. (B) Modified adjusted gross income For purposes of this paragraph, the term modified adjusted gross income (d) Election once every 5 years This section shall apply with respect to any individual for any taxable year only if there is an election in effect with respect to such individual (at such time and in such manner as the Secretary may by regulations prescribe) to have this section apply for such taxable year. An election to have this section apply with respect to any eligible individual may not be made for any taxable year if such an election is in effect with respect to such individual for any of the 4 taxable years preceding such taxable year. (e) Denial of double benefit No credit shall be allowed under subsection (a) for any expense for which a deduction or credit is allowed under any other provision of this chapter. . (b) Clerical amendment The table of sections for subpart A of part IV of subchapter A of chapter 1 of such Code is amended by inserting after the item relating to section 25D the following new item: Sec. 25E. Credit for hearing aids. . (c) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2014.

Summary: Hearing Aid Assistance Tax Credit Act 2015 Amends the Internal Revenue Code to allow an income based tax credit of up to $500 in a taxable year for the purchase of a qualified hearing aid that is described in the Code of Federal Regulations, is authorized under the Federal Food, Drug, and Cosmetic Act for commercial distribution, and is intended for use by the taxpayer or a dependent of the taxpayer. Disallows such credit for a taxpayer whose modified adjusted gross income exceeds $200,000 for any taxable year.