H.R.1219 - Oral Health Products Inclusion Act (119th Congress)
Summary
H.R.1219, the Oral Health Products Inclusion Act, seeks to amend the Internal Revenue Code of 1986. The amendment aims to include over-the-counter (OTC) oral healthcare products as qualified medical expenses. These expenses would then be eligible for purchase using Health Savings Account (HSA) and Flexible Spending Account (FSA) funds.
The bill specifically targets items like toothbrushes, water flossers, and other oral healthcare products recognized as safe and effective under the Federal Food, Drug, and Cosmetic Act. This inclusion would apply to HSAs, Archer MSAs, and Health Flexible Spending Arrangements and Health Reimbursement Arrangements.
The changes would be effective for expenses incurred after the enactment date of the Act.
Expected Effects
The primary effect of this bill would be to allow individuals to use pre-tax dollars from their HSA and FSA accounts to purchase over-the-counter oral healthcare products.
This could lead to increased utilization of these products. It may also reduce the out-of-pocket expenses for individuals and families on dental hygiene.
Potential Benefits
- Reduced Healthcare Costs: Allows individuals to use pre-tax funds for oral health products, effectively lowering the cost.
- Improved Oral Hygiene: May incentivize more frequent purchase and use of oral health products, leading to better dental health outcomes.
- Increased Access: Makes essential oral care products more accessible to individuals with HSAs and FSAs.
- Simplified Healthcare Spending: Streamlines the process of paying for eligible medical expenses.
- Potential for Preventative Care: Encourages preventative dental care, which can reduce the need for more costly treatments in the future.
Most Benefited Areas:
Potential Disadvantages
- Potential for Increased Healthcare Costs: While it lowers individual costs, it could lead to a slight increase in overall healthcare spending due to increased utilization.
- Complexity in Tax Code: Adds another layer of complexity to the Internal Revenue Code.
- Limited Impact: The benefit is limited to those with HSAs and FSAs, excluding a portion of the population.
- Potential for Abuse: There is a small risk of misuse of funds for non-eligible products, although the definition is fairly specific.
- Revenue Impact: Could slightly reduce government tax revenue due to increased use of pre-tax dollars for these products.
Constitutional Alignment
This bill appears to align with the general welfare clause of the Constitution (Preamble). It aims to promote the health of the population by making oral healthcare more accessible.
As it relates to taxation, Article I, Section 8, Clause 1 grants Congress the power to lay and collect taxes to provide for the general welfare of the United States. This bill modifies the tax code in a way that Congress deems beneficial for public health.
There are no apparent constitutional conflicts.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).