114TH CONGRESS 
2D SESSION 
H. R. 1270 
AN ACT 
To amend the Internal Revenue Code of 1986 to repeal 
the amendments made by the Patient Protection and 
Affordable Care Act which disqualify expenses for over- 
the-counter drugs under health savings accounts and 
health flexible spending arrangements. 
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 ‘‘Restoring Access to 
Medication and Improving Health Savings Act of 2016’’. 
TITLE I—RESTORING ACCESS TO 
MEDICATION ACT OF 2016 
SEC. 101. SHORT TITLE. 
This title may be cited as the ‘‘Restoring Access to 
Medication Act of 2016’’. 
SEC. 102. REPEAL OF DISQUALIFICATION OF EXPENSES 
FOR 
OVER-THE-COUNTER 
DRUGS 
UNDER 
CERTAIN ACCOUNTS AND ARRANGEMENTS. 
(a) HSAS.—Section 223(d)(2)(A) of the Internal 
Revenue Code of 1986 is amended by striking the last sen-
tence. 
(b) ARCHER MSAS.—Section 220(d)(2)(A) of such 
Code is amended by striking the last sentence. 
(c) HEALTH FLEXIBLE SPENDING ARRANGEMENTS 
AND HEALTH REIMBURSEMENT ARRANGEMENTS.—Sec-
tion 106 of such Code is amended by striking subsection 
(f). 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to expenses incurred after Decem-
ber 31, 2016.
TITLE II—HEALTH CARE 
SECURITY ACT OF 2016 
SEC. 201. SHORT TITLE. 
This title may be cited as the ‘‘Health Care Security 
Act of 2016’’. 
SEC. 202. ALLOW BOTH SPOUSES TO MAKE CATCH-UP CON-
TRIBUTIONS TO THE SAME HEALTH SAVINGS 
ACCOUNT. 
(a) IN GENERAL.—Section 223(b)(5) of the Internal 
Revenue Code of 1986 is amended to read as follows: 
‘‘(5) SPECIAL RULE FOR MARRIED INDIVIDUALS 
WITH FAMILY COVERAGE.— 
‘‘(A) IN GENERAL.—In the case of individ-
uals who are married to each other, if both 
spouses are eligible individuals and either 
spouse has family coverage under a high de-
ductible health plan as of the first day of any 
month— 
‘‘(i) the limitation under paragraph 
(1) shall be applied by not taking into ac-
count any other high deductible health 
plan coverage of either spouse (and if such 
spouses both have family coverage under 
separate high deductible health plans, only
one such coverage shall be taken into ac-
count), 
‘‘(ii) such limitation (after application 
of clause (i)) shall be reduced by the ag-
gregate amount paid to Archer MSAs of 
such spouses for the taxable year, and 
‘‘(iii) such limitation (after application 
of clauses (i) and (ii)) shall be divided 
equally between such spouses unless they 
agree on a different division. 
‘‘(B) TREATMENT
OF
ADDITIONAL
CON-
TRIBUTION AMOUNTS.—If both spouses referred 
to in subparagraph (A) have attained age 55 
before the close of the taxable year, the limita-
tion referred to in subparagraph (A)(iii) which 
is subject to division between the spouses shall 
include the additional contribution amounts de-
termined under paragraph (3) for both spouses. 
In any other case, any additional contribution 
amount determined under paragraph (3) shall 
not be taken into account under subparagraph 
(A)(iii) and shall not be subject to division be-
tween the spouses.’’.
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years beginning after 
December 31, 2016. 
SEC. 203. SPECIAL RULE FOR CERTAIN MEDICAL EXPENSES 
INCURRED 
BEFORE 
ESTABLISHMENT 
OF 
HEALTH SAVINGS ACCOUNT. 
(a) IN GENERAL.—Section 223(d)(2) of the Internal 
Revenue Code of 1986 is amended by adding at the end 
the following new subparagraph: 
‘‘(D) TREATMENT OF CERTAIN MEDICAL 
EXPENSES INCURRED BEFORE ESTABLISHMENT 
OF ACCOUNT.—If a health savings account is 
established during the 60-day period beginning 
on the date that coverage of the account bene-
ficiary under a high deductible health plan be-
gins, then, solely for purposes of determining 
whether an amount paid is used for a qualified 
medical expense, such account shall be treated 
as having been established on the date that 
such coverage begins.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply with respect to coverage beginning 
after December 31, 2016.
SEC. 204. MAXIMUM CONTRIBUTION LIMIT TO HEALTH SAV-
INGS ACCOUNT INCREASED TO AMOUNT OF 
DEDUCTIBLE AND OUT-OF-POCKET LIMITA-
TION. 
(a) SELF-ONLY COVERAGE.—Section 223(b)(2)(A) 
of the Internal Revenue Code of 1986 is amended by strik-
ing ‘‘$2,250’’ and inserting ‘‘the amount in effect under 
subsection (c)(2)(A)(ii)(I)’’. 
(b) FAMILY COVERAGE.—Section 223(b)(2)(B) of 
such Code is amended by striking ‘‘$4,500’’ and inserting 
‘‘the amount in effect under subsection (c)(2)(A)(ii)(II)’’. 
(c) CONFORMING AMENDMENTS.—Section 223(g)(1) 
of such Code is amended— 
(1) by striking ‘‘subsections (b)(2) and’’ both 
places it appears and inserting ‘‘subsection’’, and 
(2) by striking ‘‘determined by’’ in subpara-
graph (B) thereof and all that follows through ‘‘ ‘cal-
endar year 2003’.’’ and inserting ‘‘determined by 
substituting ‘calendar year 2003’ for ‘calendar year 
1992’ in subparagraph (B) thereof .’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2016.
TITLE 
III—PROTECTING 
TAX-
PAYERS BY RECOVERING IM-
PROPER 
OBAMACARE 
SUB-
SIDY OVERPAYMENTS ACT 
SEC. 301. SHORT TITLE. 
This title may be cited as the ‘‘Protecting Taxpayers 
by Recovering Improper Obamacare Subsidy Overpay-
ments Act’’. 
SEC. 302. RECOVERY OF IMPROPER OVERPAYMENTS RE-
SULTING FROM CERTAIN FEDERALLY SUB-
SIDIZED HEALTH INSURANCE. 
(a) IN GENERAL.—Section 36B(f)(2)(B)(i) of the In-
ternal Revenue Code of 1986 is amended to read as fol-
lows: 
‘‘(i) IN GENERAL.—In the case of a 
taxpayer whose household income is less 
than 300 percent of the poverty line for 
the size of the family involved for the tax-
able year, the amount of the increase 
under subparagraph (A) shall in no event 
exceed the applicable dollar amount deter-
mined in accordance with the following 
table (one-half of such amount in the case 
of a taxpayer whose tax is determined 
under section 1(c) for the taxable year):
‘‘If the household income (expressed as a percent 
of poverty line) is: 
The applicable dollar amount is: 
Less than 200% ....................................................
$600 
At least 200% but less than 250% .......................
$1,500 
At least 250% but less than 300% .......................
$3,000.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to taxable years beginning after 
December 31, 2016. 
Passed the House of Representatives July 6, 2016. 
Attest: 
Clerk.
114TH CONGRESS 
2D SESSION 
H. R. 1270 
AN ACT 
To amend the Internal Revenue Code of 1986 to 
repeal the amendments made by the Patient Pro-
tection and Affordable Care Act which disqualify 
expenses for over-the-counter drugs under health 
savings accounts and health flexible spending ar-
rangements.