Title: Patient Fairness Act of 2020
Policy area: Taxation

Summary:
Patient Fairness Act of 2020
This bill revises requirements for health savings accounts (HSAs) to (1) extend such accounts to all individuals, (2) permit health insurance premiums to be paid from such accounts, (3) increase contribution limits, and (4) permit tax free transfers to relatives of amounts held by deceased HSA beneficiaries.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5566 Introduced in House (IH)]

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116th CONGRESS
  2d Session
                                H. R. 5566

To amend the Internal Revenue Code of 1986 to allow all individuals to 
     contribute to health savings accounts, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 9, 2020

Mr. Davidson of Ohio (for himself, Mr. Gaetz, and Mr. Yoho) introduced 
  the following bill; which was referred to the Committee on Ways and 
 Means, and in addition to the Committee on Energy and Commerce, for a 
 period to be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the 
                          committee concerned

_______________________________________________________________________

                                 A BILL


 
To amend the Internal Revenue Code of 1986 to allow all individuals to 
     contribute to health savings accounts, and for other purposes.

    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 ``Patient Fairness Act of 2020''.

SEC. 2. MODIFICATIONS TO HEALTH SAVINGS ACCOUNTS.

    (a) All Individuals Allowed Deductions for Contributions.--Section 
223(a) of the Internal Revenue Code of 1986 is amended by striking 
``who is an eligible individual for any month during the taxable 
year''.
    (b) No Limitation on Purchasing Health Coverage.--Section 223(d)(2) 
of the Internal Revenue Code of 1986 is amended by striking 
subparagraphs (B) and (C) and the last sentence of subparagraph (A).
    (c) Increase in Contribution Limits.--
            (1) In general.--Section 223(b)(1) of such Code is amended 
        by striking ``the sum of the monthly'' and all that follows 
        through the period at the end and inserting `` the sum of 
        $8,000 (twice such amount in the case of a joint return), plus 
        $3,000 (twice such amount in the case of a joint return) for 
        each dependent (within the meaning of subsection (d)(2)) of the 
        taxpayer.''.
            (2) Additional contributions for individuals 55 or older.--
        Section 223(b)(3) of such Code is amended to read as follows:
            ``(3) Additional contributions for individuals 55 or 
        older.--In the case of an individual who has attained age 55 
        before the close of the taxable year, the applicable limitation 
        under paragraph (1) shall be increased by $3,000 ($6,000 in the 
        case of a joint return by two individuals, both of whom have so 
        attained such age).''.
    (d) Treatment of Amounts Transferred to Relatives After Death of 
Account Beneficiary.--Section 223(f)(8) of the Internal Revenue Code of 
1986 is amended by adding the following new subparagraph:
                    ``(C) Exception for relatives.--If the person 
                receiving the interest described in subparagraph (B)(i) 
                is a relative of the deceased, subparagraph (B) shall 
                not apply to the extent that the amount received is 
                paid into a health savings account of such relative not 
                later than the 60th day after the date of such 
                receipt.''.
    (e) Conforming Amendments.--
            (1) Section 223(b) of such Code is amended by striking 
        paragraphs (2), (5), (7), and (8) and the last sentence of 
        paragraph (4).
            (2) Section 223 of such Code is amended by striking 
        subsection (c).
            (3) Section 223(d)(1)(A)(ii) of such Code is amended by 
        striking ``exceeds the sum of'' and all that follows through 
        the period at the end and inserting ``exceeds the limitation 
        with respect to such beneficiary under paragraphs (1) and (2) 
        of subsection (b).''.
            (4) Section 223(g)(1) of such Code is amended--
                    (A) by striking ``Each dollar amount in subsections 
                (b)(2) and (c)(2)(A)'' and inserting ``In the case of a 
                taxable year beginning after 2021, each dollar amount 
                in paragraphs (1) and (2) of subsection (b)'';
                    (B) by striking ``thereof'' and all that follows in 
                subparagraph (B) through ```calendar year 2003''' and 
                inserting after ``substituting'' the following: 
                ```calendar year 2020'''; and
                    (C) by striking ``under subsections (b)(2) and 
                (c)(2)(A)'' and inserting ``under paragraphs (1) and 
                (2) of subsection (b)''.
    (f) Effective Date.--The amendments made by this section shall 
apply with respect to months in taxable years beginning after December 
31, 2020.

SEC. 3. HOSPITAL PRICE TRANSPARENCY.

    The provisions of part 180 of subchapter E of subtitle A of title 
45 of the Code of Federal Regulations (as added at 84 Fed. Reg. 65524 
et seq.) are codified and shall have the force and effect of law.
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