Title: Bridge to Medicare Act of 2018
Policy area: Taxation

Summary:
Bridge to Medicare Act of 2018
This bill amends the Internal Revenue Code to allow certain retirees a tax deduction for health insurance premiums paid for a plan offered in the individual market.
The deduction applies to individuals who: (1) have no earned income, (2) are not eligible for certain Medicare benefits, and (3) are not eligible for a premium assistance tax credit to purchase insurance on an exchange established under the Patient Protection and Affordable Care Act.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6936 Introduced in House (IH)]

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115th CONGRESS
  2d Session
                                H. R. 6936

  To amend the Internal Revenue Code of 1986 to allow a deduction for 
              health insurance costs of eligible retirees.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 27, 2018

 Mr. Bera (for himself, Ms. Kuster of New Hampshire, Mr. Carbajal, Mr. 
   Kilmer, and Mr. Moulton) introduced the following bill; which was 
              referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code of 1986 to allow a deduction for 
              health insurance costs of eligible retirees.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Bridge to Medicare Act of 2018''.

SEC. 2. DEDUCTION FOR HEALTH INSURANCE COSTS OF ELIGIBLE RETIREES.

    (a) In General.--Part VII of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 (relating to additional itemized 
deductions) is amended by redesignating section 224 as section 225 and 
by inserting after section 223 the following new section:

``SEC. 224. HEALTH INSURANCE COSTS OF ELIGIBLE RETIREES.

    ``(a) In General.--In the case of an eligible retiree, there shall 
be allowed as a deduction an amount equal to the amount paid during the 
taxable year for premiums for a health plan offered in the individual 
market within a State (within the meaning of section 5000A), for the 
taxpayer, or the taxpayer's spouse or dependents.
    ``(b) Eligible Retiree.--For purposes of this section, the term 
`eligible retiree' means, for a taxable year, an individual--
            ``(1) with no earned income (as such term is defined in 
        section 32(c)(2)) for such taxable year,
            ``(2) who is not entitled to hospital insurance benefits 
        under part A of title XVIII of the Social Security Act or 
        enrolled under part B of such title, and
            ``(3) who is not an individual who is allowed a credit 
        under section 36B.
    ``(c) Coordination With Medical Deduction, etc.--Any amount paid by 
an eligible retiree for insurance to which subsection (a) applies shall 
not be taken into account in computing the amount allowable to the 
taxpayer as a deduction under section 162(l) or 213(a). Any amount 
taken into account in determining the credit allowed under section 35 
shall not be taken into account for purposes of this section.''.
    (b) Deduction Allowed in Computing Adjusted Gross Income.--
Subsection (a) of section 62 of such Code is amended by inserting 
before the last sentence the following new paragraph:
            ``(21) Health insurance costs of eligible retirees.--The 
        deduction allowed by section 224.''.
    (c) Clerical Amendment.--The table of sections for part VII of 
subchapter B of chapter 1 of such Code is amended by redesignating the 
item relating to section 224 as an item relating to section 225 and 
inserting before such item the following new item:

``Sec. 224. Health insurance costs of eligible retirees.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to amounts paid in taxable years beginning after December 31, 
2018.
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