H.R. 2062: To amend the Internal Revenue Code of 1986 to treat membership in a health care sharing ministry as a medical expense, and for other purposes.

This bill proposes changes to the Internal Revenue Code related to health care sharing ministries. Specifically, it aims to classify membership in these ministries as a tax-deductible medical expense. Here are the key elements of the bill:

Treatment of Membership in Health Care Sharing Ministries

The bill amends the Internal Revenue Code to:

• Allow individuals to treat payments made for membership in a health care sharing ministry as a medical expense, which can provide potential tax benefits.
• Recognize that the costs associated with sharing medical expenses and administrative fees within such ministries can be deducted as medical expenses on tax filings.

Defining Health Care Sharing Ministries

The definition of health care sharing ministries is included in the bill, indicating that:

• These ministries are not to be considered traditional health insurance plans.
• This distinction means they will operate outside the typical regulatory framework that governs health insurance providers.

Clarification on Health Plans and Insurance

The legislation specifies that health care sharing ministries will:

• Not be classified as health plans or insurance under the Internal Revenue Code.
• Be treated separately to reflect their structure and operational differences from conventional insurance products.

Effective Date

According to the bill, these amendments are set to take effect for taxable years starting after December 31, 2025. This provides a timeline for when individuals can begin to claim these new tax deductions related to membership in health care sharing ministries.

Relevant Companies

None found