[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 317 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 317

To amend the Internal Revenue Code of 1986 to allow a deduction for 100 
  percent of the health insurance costs of self-employed individuals.


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                    IN THE HOUSE OF REPRESENTATIVES

                            January 31, 2001

 Mr. Manzullo (for himself, Ms. Velazquez, Mr. English, Mrs. Thurman, 
 and Mr. Graves) 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 allow a deduction for 100 
  percent of the health insurance costs of self-employed individuals.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Self-Employed Health Insurance 
Fairness Act of 2001''.

SEC. 2. DEDUCTION FOR HEALTH INSURANCE COSTS OF SELF-EMPLOYED 
              INDIVIDUALS INCREASED.

    (a) In General.--Section 162(l)(1) of the Internal Revenue Code of 
1986 (relating to special rules for health insurance costs of self-
employed individuals) is amended to read as follows:
            ``(1) Allowance of deduction.--In the case of an individual 
        who is an employee within the meaning of section 401(c)(1), 
        there shall be allowed as a deduction under this section an 
        amount equal to the amount paid during the taxable year for 
        insurance which constitutes medical care for the taxpayer, the 
        taxpayer's spouse, and dependents.''
    (b) Clarification of Limitations on Other Coverage.--The first 
sentence of section 162(l)(2)(B) of such Code is amended to read as 
follows: ``Paragraph (1) shall not apply to any taxpayer for any 
calendar month for which the taxpayer participates in any subsidized 
health plan maintained by any employer (other than an employer 
described in section 401(c)(4)) of the taxpayer or the spouse of the 
taxpayer.''
    (c) Deduction Taken Into Account for Self-Employment Tax 
Purposes.--Section 162(l) of such Code is amended by striking paragraph 
(4) and redesignating paragraph (5) as paragraph (4).
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2000.
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