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Tax Changes: Abortion Costs Excluded from Health Savings Account Benefits.

This bill amends tax laws governing Health Savings Accounts (HSAs), FSAs, and HRAs, generally excluding abortion expenses from the definition of qualified medical expenses. Citizens using these tax-advantaged accounts to cover such costs (unless related to rape, incest, or life endangerment) will face income tax on the withdrawn amounts. These changes take effect for taxable years starting after December 31, 2025.
Key points
Abortion expenses (except in cases of rape, incest, or life endangerment) will no longer qualify as tax-exempt medical expenses under HSAs, FSAs, and HRAs.
Using funds from these accounts for non-qualified abortion costs will result in the withdrawn amount being subject to income tax.
The changes apply to payments and reimbursements made in taxable years beginning after December 31, 2025.
article Official text account_balance Process page
Introduced
Citizen Poll
No votes cast
Additional Information
Print number: 119_S_251
Sponsor: Sen. Lee, Mike [R-UT]
Process start date: 2025-01-24
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Summarized by: gemini-flash-latest
Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Protecting Life in Health Savings Accounts Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 119_S_251.

Which chamber initiated this legislation?

This legislation was initiated in the Senate.

When did the legislative process begin?

The process officially started on 2025-01-24.

What are the main provisions?

Key points include:

  • Abortion expenses (except in cases of rape, incest, or life endangerment) will no longer qualify as tax-exempt medical expenses under HSAs, FSAs, and HRAs.
  • Using funds from these accounts for non-qualified abortion costs will result in the withdrawn amount being subject to income tax.
  • The changes apply to payments and reimbursements made in taxable years beginning after December 31, 2025.
What is the specific legal status?

The current status is Introduced.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Sen. Lee, Mike [R-UT].

What is the latest detailed status?

The latest detailed status is: Introduced in Senate

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-31.

CATEGORIES

Taxes Health