(1) The table of sections for chapter 77 of such 
Code is amended by adding at the end the following 
new item: 
‘‘Sec. 7529. Advance payment of credit as premium payment for high deduct-
ible health insurance.’’. 
(2) The table of sections for subpart B of part 
III of subchapter A of chapter 61 of such Code is 
amended by adding at the end the following new 
item: 
‘‘Sec. 6050U. Returns relating to credit for health insurance coverage under 
high deductible health plan.’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on the date of the enactment 
of this Act. 
SEC. 6. INCREASE IN CONTRIBUTION LIMITS FOR HEALTH 
SAVINGS ACCOUNTS. 
(a) INCREASE IN MONTHLY LIMIT.— 
(1) IN
GENERAL.—Paragraph (2) of section 
223(b) of the Internal Revenue Code of 1986 (relat-
ing to monthly limitation) is amended to read as fol-
lows: 
‘‘(2) MONTHLY LIMITATION.— 
‘‘(A) IN GENERAL.—In the case of an eligi-
ble individual who has coverage under a high 
deductible health plan, the monthly limitation 
for any month of such coverage is 1⁄12 of the 
lesser of— 
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‘‘(i) the sum of the annual deductible 
and the other annual out-of-pocket ex-
penses (other than for premiums) required 
to be paid under the plan by the eligible 
individual for covered benefits, or 
‘‘(ii) in the case of an eligible indi-
vidual with— 
‘‘(I) self-only coverage, the dollar 
amount in effect under subclause (I) 
of subsection (c)(2)(A)(ii), or 
‘‘(II) family coverage, the dollar 
amount in effect under subclause (II) 
of subsection (c)(2)(A)(ii). 
‘‘(B) SPECIAL RULES RELATING TO OUT- 
OF-POCKET EXPENSES.— 
‘‘(i) 
REDUCTION
FOR
SEPARATE 
PLAN.—The annual out-of-pocket expenses 
taken into account under subparagraph 
(A)(i) with respect to any eligible indi-
vidual shall be reduced by any out-of-pock-
et expense payable under a separate plan 
covering the individual. 
‘‘(ii) SECRETARIAL AUTHORITY.—The 
Secretary may by regulations provide that 
annual out-of-pocket expenses will not be 
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taken into account under subparagraph 
(A)(i) to the extent that there is only a re-
mote likelihood that such amounts will be 
required to be paid.’’. 
(2) CONFORMING AMENDMENTS.— 
(A) Section 223(b)(3)(A) of such Code is 
amended by striking ‘‘subparagraphs (A) and 
(B) of’’. 
(B) Section 223(d)(1)(A)(ii)(I) of such 
Code is amended by striking ‘‘subsection 
(b)(2)(B)(ii)’’ 
and 
inserting 
‘‘subsection 
(c)(2)(A)(ii)(II)’’. 
(C) Section 223(c)(2)(D)(ii) of such Code 
is amended to read as follows: 
‘‘(ii) CERTAIN
ITEMS
DISREGARDED 
IN
COMPUTING
MONTHLY
LIMITATION.— 
Such plan’s annual deductible, and such 
plan’s annual out-of-pocket limitation, for 
services provided outside of such network 
shall not be taken into account for pur-
poses of subsection (b)(2).’’. 
(D) Section 223(g)(1) of such Code is 
amended by striking ‘‘subsections (b)(2) and 
(c)(2)(A)’’ and inserting ‘‘subsection (c)(2)(A)’’. 
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(b) APPLICATION OF SPECIAL RULES FOR MARRIED 
INDIVIDUALS.—Paragraph (5) of section 223(b) of such 
Code (relating to special rule for married individuals) is 
amended to read as follows: 
‘‘(5) SPECIAL RULES FOR MARRIED INDIVID-
UALS.— 
‘‘(A) IN GENERAL.—In the case of individ-
uals who are married to each other and who are 
both eligible individuals, the limitation under 
paragraph (1) for each spouse shall be equal to 
the spouse’s applicable share of the combined 
marital limit. 
‘‘(B) COMBINED
MARITAL
LIMIT.—For 
purposes of subparagraph (A), the combined 
marital limit is the excess (if any) of— 
‘‘(i) the lesser of— 
‘‘(I) subject to subparagraph (C), 
the sum of the limitations computed 
separately under paragraph (1) for 
each spouse (including any additional 
contribution amount under paragraph 
(3)), or 
‘‘(II) the dollar amount in effect 
under 
subsection 
(c)(2)(A)(ii)(II), 
over 
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