[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 1330 Introduced in Senate (IS)]
107th CONGRESS
1st Session
S. 1330
To amend the Internal Revenue Code of 1986 to provide that amounts paid
for foods for special dietary use, dietary supplements, or medical
foods shall be treated as medical expenses.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
August 2, 2001
Mr. Harkin (for himself and Mr. Hatch) introduced the following bill;
which was read twice and referred to the Committee on Finance
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to provide that amounts paid
for foods for special dietary use, dietary supplements, or medical
foods shall be treated as medical expenses.
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 shall be known as the ``Dietary Supplement Tax Fairness
Act of 2001''.
SEC. 2. FINDINGS.
The Congress finds that--
(1) the inclusion of foods for special dietary use, dietary
supplements, and medical foods in the deduction for medical
expenses does not subject such items to regulation as drugs,
(2) the Internal Revenue Code of 1986 treats such items as
allowable for the medical expense deduction, but only if such
items are prescribed drugs,
(3) such items have been shown through research and
historical use to be a valuable benefit to human health, in
particular disease prevention and overall good health, and
(4) children with inborn errors of metabolism, metabolic
disorders, and autism, and all individuals with diabetes,
autoimmune disorders, and chronic inflammatory conditions,
frequently require daily dietary interventions as well as
medical interventions to manage their conditions and such
dietary interventions often become a significant economic
burden on such individuals.
SEC. 3. AMOUNTS PAID FOR FOODS FOR SPECIAL DIETARY USE, DIETARY
SUPPLEMENTS, OR MEDICAL FOODS TREATED AS MEDICAL
EXPENSES.
(a) In General.--Paragraph (1) of section 213(d) of the Internal
Revenue Code of 1986 (relating to medical, dental, etc., expenses) is
amended by redesignating subparagraphs (C) and (D) as subparagraphs (D)
and (E), respectively, and by inserting after subparagraph (B) the
following new subparagraph:
``(C) for foods for special dietary use, dietary
supplements (as defined in section 201 of the Federal
Food, Drug, and Cosmetic Act), and medical foods,''.
(b) Special Rule for Insurance Covering Foods for Special Dietary
Use, Dietary Supplements, and Medical Foods.--Subsection (d) of section
213 of the Internal Revenue Code of 1986 (relating to medical, dental,
etc., expenses) is amended by adding at the end the following new
paragraph:
``(12) Special rule for insurance covering foods for
special dietary use, dietary supplements, and medical foods.--
Amounts paid for insurance covering foods and supplements
referred to in paragraph (1)(C) shall be treated as described
in paragraph (1)(E) only if such foods and supplements comply
with applicable good manufacturing practices prescribed by the
Food and Drug Administration or with other comparable
standards.''.
(c) Conforming Amendments.--
(1) Subparagraph (E) of section 213(d)(1) of the Internal
Revenue Code of 1986, as redesignated by subsection (a), is
amended by striking ``subparagraphs (A) and (B)'' and inserting
``subparagraphs (A), (B), and (C)''.
(2) The last sentence of section 213(d)(1) of such Code is
amended by striking ``subparagraph (D)'' and inserting
``subparagraph (E)''.
(3) Paragraph (6) of section 213(d) of such Code is
amended--
(A) by striking ``and (C)'' and inserting ``(C),
and (D)'', and
(B) by striking ``paragraph (1)(D)'' in
subparagraph (A) and inserting ``paragraph (1)(E)''.
(4) Paragraph (7) of section 213(d) of such Code is amended
by striking ``and (C)'' and inserting ``(C), and (D)''.
(5) Sections 72(t)(2)(D)(i)(III) and 7702B(a)(4) of such
Code are each amended by striking ``section 213(d)(1)(D)'' and
inserting ``section 213(d)(1)(E)''.
(d) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after the date of the enactment of
this Act.
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