[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9753 Introduced in House (IH)]
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119th CONGRESS
2d Session
H. R. 9753
To amend the Internal Revenue Code of 1986 to exempt certain retirement
plan distributions used to pay qualified fertility treatment expenses
from the early withdrawal tax.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 16, 2026
Mr. Levin (for himself and Mr. Carey) 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 exempt certain retirement
plan distributions used to pay qualified fertility treatment expenses
from the early withdrawal tax.
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 ``Fertility Cost Relief Act''.
SEC. 2. DISTRIBUTIONS FOR QUALIFIED FERTILITY TREATMENT EXPENSES
EXEMPTED FROM EARLY WITHDRAWAL TAX.
(a) In General.--Section 72(t)(2) of the Internal Revenue Code of
1986 is amended by adding at the end the following new subparagraph:
``(O) Qualified fertility treatment
distributions.--
``(i) In general.--Any qualified fertility
treatment distribution.
``(ii) Lifetime dollar limitation.--
``(I) In general.--The aggregate
amount of distributions received by an
individual which may be treated as
qualified fertility treatment
distributions for any taxable year
shall not exceed the excess (if any)
of--
``(aa) $20,000, over
``(bb) the aggregate
amounts treated as qualified
fertility treatment
distributions with respect to
such individual for all prior
taxable years.
``(II) Inflation adjustment.--In
the case of a taxable year beginning in
a calendar year after 2026, the $20,000
amount in subclause (I)(aa) shall be
increased by an amount equal to--
``(aa) such dollar amount,
multiplied by
``(bb) the cost-of-living
adjustment determined under
section 1(f)(3) for the
calendar year in which the
taxable year begins, determined
by substituting `calendar year
2025' for `calendar year 2016'
in subparagraph (A)(ii)
thereof.
``(iii) Qualified fertility treatment
distribution.--For purposes of this
subparagraph--
``(I) In general.--The term
`qualified fertility treatment
distribution' means any distribution
received by an individual from an
applicable eligible retirement plan to
the extent such distribution is used,
within 1 year of the date on which such
distribution is received, to pay
qualified fertility treatment expenses
for the individual or the spouse or
domestic partner of the individual.
``(II) Qualified fertility
treatment expenses.--The term
`qualified fertility treatment
expenses' means any expenses for--
``(aa) the preservation of
human oocytes, sperm, or
embryos,
``(bb) artificial
insemination, including
intravaginal, intracervical,
and intrauterine insemination,
``(cc) assisted
reproductive technology,
including in vitro
fertilization and other
treatments or procedures in
which oocytes, sperm,
fertilized eggs, embryos, or
other reproductive genetic
materials are handled,
``(dd) the genetic testing
of embryos,
``(ee) fertility
medications,
``(ff) gamete donation, or
``(gg) such other fertility
treatments, procedures,
medications, or services as
determined appropriate in
accordance with regulations
prescribed by the Secretary of
Health and Human Services.
``(III) Applicable eligible
retirement plan.--The term `applicable
eligible retirement plan' means an
eligible retirement plan (as defined in
section 402(c)(8)(B)) other than a
defined benefit plan.
``(iv) Treatment of plan distributions.--If
a distribution to an individual would (without
regard to clause (ii)) be a qualified fertility
treatment distribution, a plan shall not be
treated as failing to meet any requirement of
this title merely because the plan treats the
distribution as a qualified fertility treatment
distribution, unless the aggregate amount of
such distributions from all plans maintained by
the employer (and any member of any controlled
group which includes the employer, determined
as provided in subparagraph (H)(iv)(II)) to
such individual exceeds the limitation under
clause (ii).
``(v) Amount distributed may be repaid.--
Rules similar to the rules of subparagraph
(H)(v) shall apply with respect to an
individual who receives a qualified fertility
treatment distribution.
``(vi) Special rules.--For purposes of this
subparagraph--
``(I) Exemption of distributions
from trustee to trustee transfer and
withholding rules.--For purposes of
sections 401(a)(31), 402(f), and 3405,
a qualified fertility treatment
distribution shall not be treated as an
eligible rollover distribution.
``(II) Distributions treated as
meeting plan distribution
requirements.--Any qualified fertility
treatment distribution shall be treated
as meeting the requirements of sections
401(k)(2)(B)(i), 403(b)(7)(A)(i),
403(b)(11), and 457(d)(1)(A).''.
(b) Effective Date.--The amendment made by subsection (a) shall
apply with respect to distributions made after December 31, 2025.
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