[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 1005 Introduced in Senate (IS)]
114th CONGRESS
1st Session
S. 1005
To amend the Internal Revenue Code of 1986 to extend and modify the
credit for health insurance costs of certain eligible individuals, and
for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
April 16, 2015
Mr. Wyden 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 extend and modify the
credit for health insurance costs of certain eligible individuals, and
for other purposes.
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 Coverage Tax Credit Extension
Act of 2015''.
SEC. 2. EXTENSION AND MODIFICATION OF HEALTH COVERAGE TAX CREDIT.
(a) Extension.--Subparagraph (B) of section 35(b)(1) of the
Internal Revenue Code of 1986 is amended by striking ``before January
1, 2014'' and inserting ``before January 1, 2020''.
(b) Coordination With Credit for Coverage Under a Qualified Health
Plan.--Subsection (g) of section 35 of the Internal Revenue Code of
1986 is amended--
(1) by redesignating paragraph (11) as paragraph (13), and
(2) by inserting after paragraph (10) the following new
paragraphs:
``(11) Election.--
``(A) In general.--A taxpayer may elect to have
this section apply for any eligible coverage month.
``(B) Timing and applicability of election.--Except
as the Secretary may provide--
``(i) an election to have this section
apply for any eligible coverage month in a
taxable year shall be made not later than the
due date (including extensions) for the return
of tax for the taxable year, and
``(ii) any election for this section to
apply for an eligible coverage month shall
apply for all subsequent eligible coverage
months in the taxable year and, once made,
shall be irrevocable with respect to such
months.
``(12) Coordination with premium tax credit.--
``(A) In general.--An eligible coverage month to
which the election under paragraph (11) applies shall
not be treated as a coverage month (as defined in
section 36B(c)(2)) for purposes of section 36B with
respect to the taxpayer.
``(B) Coordination with advance payments of premium
tax credit.--In the case of a taxpayer who makes the
election under paragraph (11) with respect to any
eligible coverage month in a taxable year or on behalf
of whom any advance payment is made under section 7527
with respect to any month in such taxable year--
``(i) the tax imposed by this chapter for
the taxable year shall be increased by the
excess, if any, of--
``(I) the sum of any advance
payments made on behalf of the taxpayer
under section 1412 of the Patient
Protection and Affordable Care Act and
section 7527 for months during such
taxable year, over
``(II) the sum of the credits
allowed under this section (determined
without regard to paragraph (1)) and
section 36B (determined without regard
to subsection (f)(1) thereof) for such
taxable year, and
``(ii) section 36B(f)(2) shall not apply
with respect to such taxpayer for such taxable
year, except that if such taxpayer received any
advance payments under section 7527 for any
month in such taxable year and is later allowed
a credit under section 36B for such taxable
year, then section 36B(f)(2) shall be applied
by substituting the amount determined under
clause (i) for the amount determined under
section 36B(f)(2)(A).''.
(c) Extension of Advance Payment Program.--
(1) In general.--Subsection (a) of section 7527 of the
Internal Revenue Code of 1986 is amended by striking ``August
1, 2003'' and inserting ``the date that is 1 year after the
date of the enactment of the Health Coverage Tax Credit
Extension Act of 2015''.
(2) Conforming amendment.--Paragraph (1) of section 7527(e)
of such Code is amended by striking ``occurring'' and all that
follows and inserting ``occurring--
``(A) after the date that is 1 year after the date
of the enactment of the Health Coverage Tax Credit
Extension Act of 2015, and
``(B) prior to the first month for which an advance
payment is made on behalf of such individual under
subsection (a).''.
(d) Individual Insurance Treated as Qualified Health Insurance
Without Regard to Enrollment Date.--
(1) In general.--Subparagraph (J) of section 35(e)(1) of
the Internal Revenue Code of 1986 is amended by striking
``insurance if the eligible individual'' and all that follows
through ``For purposes of'' and inserting ``insurance. For
purposes of''.
(2) Special rule.--Subparagraph (J) of section 35(e)(1) of
such Code, as amended by paragraph (1), is amended by striking
``insurance.'' and inserting ``insurance (other than coverage
enrolled in through an Exchange established under the Patient
Protection and Affordable Care Act).''.
(e) Conforming Amendment.--Subsection (m) of section 6501 of the
Internal Revenue Code of 1986 is amended by inserting ``, 35(g)(11)''
after ``30D(e)(4)''.
(f) Effective Date.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall apply to coverage months
in taxable years beginning after December 31, 2013.
(2) Plans available on individual market for use of tax
credit.--The amendment made by subsection (d)(2) shall apply to
coverage months in taxable years beginning after December 31,
2015.
(3) Transition rule.--Notwithstanding section
35(g)(11)(B)(i) of the Internal Revenue Code of 1986 (as added
by this Act), an election to apply section 35 of such Code to
an eligible coverage month (as defined in section 35(b) of such
Code) (and not to claim the credit under section 36B of such
Code with respect to such month) in a taxable year beginning
after December 31, 2013, and before the date of the enactment
of this Act--
(A) may be made at any time on or after such date
of enactment and before the expiration of the 3-year
period of limitation prescribed in section 6511(a) with
respect to such taxable year; and
(B) may be made on an amended return.
SEC. 3. AGENCY OUTREACH.
As soon as possible after the date of the enactment of this Act,
the Secretaries of the Treasury, Health and Human Services, and Labor
(or such Secretaries' delegates) and the Director of the Pension
Benefit Guaranty Corporation (or the Director's delegate) shall carry
out programs of public outreach, including on the Internet, to inform
potential eligible individuals (as defined in section 35(c)(1) of the
Internal Revenue Code of 1986) of the extension of the credit under
section 35 of the Internal Revenue Code of 1986 and the availability of
the election to claim such credit retroactively for coverage months
beginning after December 31, 2013.
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