Foxx Introduces Legislation to Prevent Using Tax-Free HSA Funds for Elective Abortion
Washington, April 10, 2017
WASHINGTON – Rep. Virginia Foxx, R-N.C., has introduced legislation to prevent tax-favored health savings accounts from being used to fund elective abortion.
“Few things demean the sanctity of human life more than elective abortion,” said Foxx. “It is unconscionable to force millions of taxpayers who hold that view to provide tax advantages for abortion expenses, particularly when such advantages are barred for other controversial uses.”
Individuals with high deductible health insurance plans are eligible to open health savings accounts. Contributions to the accounts are tax deductible while the interest or other earnings on the assets in the accounts are tax-free. Participants can withdraw funds from the accounts on a tax-free basis to cover qualified medical expenses.
Congress has already established limits on withdrawals from health savings accounts by establishing qualified medical expenses. Certain procedures such as elective cosmetic surgeries have been excluded from eligibility. Similarly, H.R. 2019 removes elective abortion as a qualified medical expense.
Rep. Chris Smith, R-N.J., is an original co-sponsor of the legislation.
U.S. Rep. Virginia Foxx represents North Carolina’s 5th Congressional District and is the chairwoman of the House Committee on Education and the Workforce.