Title: Health Insurance Relief for Unemployed Individuals and Families
Policy area: Taxation

Summary:
Health Insurance Relief for Unemployed Individuals and Families
This bill requires the disregard of additional unemployment insurance paid under the Coronavirus Aid, Relief, and Economic Security Act or the CARES Act in determining eligibility for and the amount of the tax credit for health care premium assistance and for means tested federal benefit programs.

[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 3696 Introduced in Senate (IS)]

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116th CONGRESS
  2d Session
                                S. 3696

  To amend the Internal Revenue Code of 1986 to disregard additional 
 unemployment compensation for purposes of premium tax credit and cost-
               sharing subsidies, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 12, 2020

Mr. Cardin (for himself, Mr. Van Hollen, Mrs. Shaheen, Mr. Bennet, Mr. 
 Brown, and Mr. Markey) introduced the following bill; which was read 
             twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code of 1986 to disregard additional 
 unemployment compensation for purposes of premium tax credit and cost-
               sharing subsidies, 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 ``Health Insurance Relief for 
Unemployed Individuals and Families''.

SEC. 2. DISREGARD OF ADDITIONAL UNEMPLOYMENT COMPENSATION FOR PURPOSES 
              OF PREMIUM TAX CREDIT AND COST-SHARING SUBSIDIES.

    (a) In General.--Section 36B(d)(2)(B) of the Internal Revenue Code 
of 1986 is amended--
            (1) by redesignating clauses (i), (ii), and (iii) as 
        subclauses (I), (II), and (III), respectively, and by moving 
        such subclauses 2 ems to the right;
            (2) by striking ``adjusted gross income increased by'' and 
        inserting ``adjusted gross income--
                            ``(i) decreased by the amount of any 
                        Federal pandemic unemployment compensation paid 
                        to an individual under section 2104 of division 
                        A of the CARES Act during the taxable year, 
                        and; and
                            ``(ii) increased by--''; and
            (3) by adding at the end the following new flush sentence:
``Clause (i) shall not apply to the extent that such decrease results 
in a household income for the taxpayer which is less than 100 percent 
of the poverty line for a family of the size involved.''.
    (b) Temporary Suspension of Recapture of Excess Advance Payments.--
Section 36B(f)(2) of the Internal Revenue Code of 1986 is amended by 
adding at the end the following new subparagraph:
                    ``(C) Special rule for 2020 and 2021.--Subparagraph 
                (A) shall not apply to any taxable year beginning in 
                2020 or 2021.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2019.
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