Diapers as Medical Expenses & Sales Tax Ban
This new law aims to make diapers more affordable for families by treating them as qualified medical expenses. This means they can be paid for using health savings accounts. Additionally, the law prohibits states and local governments from imposing sales tax on retail diaper purchases, reducing their overall cost.
Key points
Diapers will be considered qualified medical expenses, allowing their cost to be covered by HSA, FSA, and HRA accounts.
States and local governments will be prohibited from imposing sales tax on retail diaper purchases, lowering prices.
The changes are intended to assist low-income families who currently spend a significant portion of their income on diapers.
Expired
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