I 
117TH CONGRESS 
1ST SESSION H. R. 1860 
To amend the Internal Revenue Code of 1986 to provide the opportunity 
for responsible health savings to all American families. 
IN THE HOUSE OF REPRESENTATIVES 
MARCH 11, 2021 
Mr. STIVERS (for himself, Mr. VICENTE GONZALEZ of Texas, Mr. KELLY of 
Pennsylvania, Mrs. BEATTY, Mr. ALLEN, Mr. COHEN, Ms. NORTON, Mr. 
JOHNSON of Ohio, Mr. RODNEY DAVIS of Illinois, Mr. BALDERSON, Mr. 
GROTHMAN, Mr. FITZPATRICK, Mr. GOSAR, Mr. CHABOT, Mr. RUPPERS-
BERGER, Mrs. WAGNER, Mr. BAIRD, Mr. EMMER, and Ms. MENG) intro-
duced 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 
the opportunity for responsible health savings to all 
American families. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Responsible Additions 
and Increases To Sustain Employee Health Benefits Act 
of 2021’’. 
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SEC. 2. EXPANDABLE HEALTH FLEXIBLE SPENDING AR-
RANGEMENTS. 
(a) EXPANSION OF ANNUAL MAXIMUM.— 
(1) IN
GENERAL.—Paragraph (1) of section 
125(i) of the Internal Revenue Code of 1986 is 
amended— 
(A) by striking ‘‘$2,500’’ and inserting 
‘‘$5,000, with an additional $500 per each ad-
ditional employee dependent above two depend-
ents’’, and 
(B) by inserting at the end the following: 
‘‘An additional employee dependent may not be 
taken into account under the preceding sen-
tence for any taxable year if such additional 
employee dependent has been taken into ac-
count by another person under such sentence 
for such taxable year.’’. 
(2) ADJUSTMENT FOR INFLATION.—Paragraph 
(2) of section 125(i) of the Internal Revenue Code 
of 1986 is amended— 
(A) by striking ‘‘December 31, 2013’’ and 
inserting ‘‘December 31, 2022’’, 
(B) by striking ‘‘the dollar amount’’ and 
inserting ‘‘each of the dollar amounts’’, and 
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(C) in subparagraph (B), by striking ‘‘cal-
endar year 2012’’ and inserting ‘‘calendar year 
2021’’. 
(b) CARRYFORWARD OF UNUSED BENEFITS.—Sec-
tion 125(i) of the Internal Revenue Code of 1986 is 
amended by adding at the end the following new para-
graph: 
‘‘(3) CARRYFORWARD OF UNUSED BENEFITS.— 
‘‘(A) IN
GENERAL.—A plan or arrange-
ment may permit a participant in a health flexi-
ble spending arrangement to elect to carry for-
ward any aggregate unused balances in the par-
ticipant’s accounts under such arrangement as 
of the close of any year to the succeeding year. 
Such carryforward shall be treated as having 
occurred within 30 days of the close of the year. 
‘‘(B) LIMITATION.—The amount which a 
participant may elect to carry forward under 
subparagraph (A) from any year shall be any 
aggregate unused balances in the participant’s 
account at the close of any year. 
‘‘(C) EXCLUSION FROM GROSS INCOME.— 
No amount shall be included in gross income 
under this chapter by reason of any carryfor-
ward under this paragraph. 
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‘‘(D) COORDINATION
LIMITS.—The max-
imum amount which may be contributed to a 
health flexible spending arrangement for any 
year to which an unused amount is carried 
under this paragraph shall not be reduced by 
such unused amount.’’. 
(c) CONFORMING AMENDMENT.—Section 125(i) of 
the Internal Revenue Code of 1986 is amended by striking 
‘‘LIMITATION
ON HEALTH FLEXIBLE SPENDING AR-
RANGEMENTS’’ in the heading and inserting ‘‘SPECIAL 
RULES FOR HEALTH FLEXIBLE SPENDING ARRANGE-
MENTS’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2021. 
Æ 
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