A bill to amend the Internal Revenue Code of 1986 to clarify the special rules for accident and health plans of certain governmental entities, and for other purposes.

Bill: 113-s-2660
Sponsor: full_name: Sen. Cantwell, Maria [D-WA]
Introduced: 2014-07-24
Policy area: Taxation
Subjects: Employee benefits and pensions

Government employee pay, benefits, personnel management

Health care costs and insurance

Income tax exclusion

State and local government operations
Latest action: action_date: 2014-07-24
text: Read twice and referred to the Committee on Finance.

Summaries:
action_date: 2014-07-24
action_desc: Introduced in Senate
text: <p>Amends the Internal Revenue Code, with respect to the exclusion of payments made from an accident or health plan funded by a state entity from gross income for income tax purposes, to: (1) include payments made to an employee or to a spouse, dependent, or child of an employee; and (2) extend reimbursement of health care expenses under such a plan to any beneficiary of a deceased plan participant other than a surviving spouse, dependent, or child. </p>

tv_txt: II 113th CONGRESS 2d Session S. 2660 IN THE SENATE OF THE UNITED STATES July 24, 2014 Ms. Cantwell (for herself, Mr. Crapo , Mrs. Murray , and Mr. Risch ) 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 clarify the special rules for accident and health plans of certain governmental entities, and for other purposes.

1. Clarification of special rule for certain governmental plans (a) In general Paragraph (1) of section 105(j) of the Internal Revenue Code of 1986 is amended— (1) by striking the taxpayer and inserting an employee or to a spouse, dependent (as defined for purposes of subsection (b)), or child (as so defined) of an employee , and (2) by striking deceased plan participant's beneficiary and inserting deceased employee's beneficiary other than a surviving spouse, dependent (as so defined), or child (as so defined) of the employee . (b) Application to political subdivisions of States Paragraph (2) of section 105(j) of the Internal Revenue Code of 1986 is amended— (1) by inserting or established by or on behalf of a State or political subdivision thereof after public retirement system , and (2) by inserting or 501(c)(9) after section 115 in subparagraph (B). (c) Effective date The amendments made by this section shall apply to payments after the date of the enactment of this Act.