HR 3975
110th CONGRESS
1st Session
H. R. 3975
To amend the Internal Revenue Code of 1986 to provide a 100 percent
deduction for the health insurance costs of individuals.
IN THE HOUSE OF REPRESENTATIVES
October 25, 2007
Mr. CHABOT 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 provide a 100 percent
deduction for the health insurance costs of 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 `Health Insurance Affordability Act of 2007'.
SEC. 2. DEDUCTION FOR QUALIFIED HEALTH INSURANCE COSTS OF INDIVIDUALS.
(a) In General- Part VII of subchapter B of chapter 1 of the Internal
Revenue Code of 1986 (relating to additional itemized deductions) is amended
by redesignating section 224 as section 225 and by inserting after section
223 the following new section:
`SEC. 224. COSTS OF QUALIFIED HEALTH INSURANCE.
`(a) In General- In the case of an individual, there shall be allowed
as a deduction an amount equal to the amount paid during the taxable year
for coverage for the taxpayer, his spouse, and dependents under qualified
health insurance.
`(b) Qualified Health Insurance- For purposes of this section, the term
`qualified health insurance' means insurance which constitutes medical
care; except that such term shall not include any insurance if substantially
all of its coverage is of excepted benefits described in section 9832(c).
`(1) COORDINATION WITH MEDICAL DEDUCTION, ETC- Any amount paid by a
taxpayer for insurance to which subsection (a) applies shall not be
taken into account in computing the amount allowable to the taxpayer
as a deduction under section 162(l) or 213(a). Any amount taken into
account in determining the credit allowed under section 35 shall not
be taken into account for purposes of this section.
`(2) DEDUCTION NOT ALLOWED FOR SELF-EMPLOYMENT TAX PURPOSES- The deduction
allowable by reason of this section shall not be taken into account
in determining an individual's net earnings from self-employment (within
the meaning of section 1402(a)) for purposes of chapter 2.'.
(b) Deduction Allowed in Computing Adjusted Gross Income- Subsection (a)
of section 62 of such Code is amended by inserting before the last sentence
the following new paragraph:
`(21) COSTS OF QUALIFIED HEALTH INSURANCE- The deduction allowed by
section 224.'.
(c) Clerical Amendment- The table of sections for part VII of subchapter
B of chapter 1 of such Code is amended by redesignating the item relating
to section 224 as an item relating to section 225 and inserting before
such item the following new item:
`Sec. 224. Costs of qualified health insurance.'.
(d) Effective Date- The amendments made by this section shall apply to
taxable years beginning after December 31, 2007.
END
