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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A BILL 
To amend the Internal Revenue Code of 1986 to improve 
the rules with respect to health savings accounts. 
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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 ‘‘Health Care Security 
Act of 2016’’. 
SEC. 2. 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 deductible 
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), 
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‘‘(ii) such limitation (after application 
of clause (i)) shall be reduced by the aggre-
gate amount paid to Archer MSAs of such 
spouses for the taxable year, and 
‘‘(iii) such limitation (after applica-
tion 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 be-
fore the close of the taxable year, the limitation 
referred to in subparagraph (A)(iii) which is 
subject to division between the spouses shall in-
clude the additional contribution amounts deter-
mined 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 Decem-
ber 31, 2016. 
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SEC. 3. 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 EX-
PENSES INCURRED BEFORE ESTABLISHMENT OF 
ACCOUNT.—If a health savings account is estab-
lished during the 60-day period beginning on the 
date that coverage of the account beneficiary 
under a high deductible health plan begins, then, 
solely for purposes of determining whether an 
amount paid is used for a qualified medical ex-
pense, 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. 4. 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 striking 
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‘‘$2,250’’ and inserting ‘‘the amount in effect under sub-
section (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 subparagraph 
(B) thereof and all that follows through ‘‘ ‘calendar 
year 2003’.’’ and inserting ‘‘determined by sub-
stituting ‘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 Decem-
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 
improve the rules with respect to health savings 
accounts. 
JUNE 17, 2016 
Reported with an amendment, committed to the Com-
mittee of the Whole House on the State of the Union, 
and ordered to be printed 
VerDate Sep 11 2014 
20:10 Jun 17, 2016
Jkt 059200
PO 00000
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