[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1034 Introduced in House (IH)]







104th CONGRESS
  1st Session
                                H. R. 1034

   To amend the Internal Revenue Code of 1986 to increase the health 
         insurance tax deduction for self-employed individuals.


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                    IN THE HOUSE OF REPRESENTATIVES

                           February 23, 1995

Mrs. Meyers of Kansas introduced the following bill; which was referred 
                   to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
   To amend the Internal Revenue Code of 1986 to increase the health 
         insurance tax deduction for self-employed individuals.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. INCREASE IN HEALTH INSURANCE TAX DEDUCTION FOR SELF-EMPLOYED 
              INDIVIDUALS.

    (a) Increase in Amount of Deduction.--Paragraph (1) of section 
162(l) of the Internal Revenue Code of 1986 (relating to special rules 
for health insurance costs of self-employed individuals) is amended by 
striking ``25 percent of'' and inserting ``100 percent (50 percent in 
the case of taxable years beginning in 1997 or 1998 and 75 percent in 
the case of taxable years beginning in 1999 or 2000) of''.
    (b) Treatment of Self-employed Contributions to Certain Group 
Health Plans.--Paragraph (2) of section 162(l) of such Code is amended 
by adding at the end thereof the following new subparagraph:
                    ``(C) Treatment of group health plans.--For 
                purposes of this subsection, an amount paid into an 
                exempted multiple employer health plan (as defined in 
                section 701(9) of the Employee Retirement Income 
                Security Act of 1974, as added by the ERISA Targeted 
                Health Insurance Reform Act of 1995) shall be deemed to 
                be an amount paid for insurance which constitutes 
                medical care.''
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 1996.
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