[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3128 Introduced in House (IH)]

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119th CONGRESS
  1st Session
                                H. R. 3128

    To amend the Internal Revenue Code of 1986 to treat diapers as 
     qualified medical expenses; and to prohibit States and local 
       governments to impose a tax on the retail sale of diapers.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 30, 2025

 Mrs. Watson Coleman (for herself, Ms. DeLauro, Ms. Norton, Ms. Tlaib, 
   Mr. Davis of Illinois, Mrs. Foushee, Mr. Jackson of Illinois, Mr. 
    Johnson of Georgia, Mr. Nadler, Mrs. Dingell, Mr. Carson, Mrs. 
 Cherfilus-McCormick, Mrs. McClain Delaney, Mr. McGarvey, Ms. Elfreth, 
and Mr. Mackenzie) introduced the following bill; which was referred to 
 the Committee on Ways and Means, and in addition to the Committee on 
   the Judiciary, for a period to be subsequently determined by the 
  Speaker, in each case for consideration of such provisions as fall 
           within the jurisdiction of the committee concerned

_______________________________________________________________________

                                 A BILL


 
    To amend the Internal Revenue Code of 1986 to treat diapers as 
     qualified medical expenses; and to prohibit States and local 
       governments to impose a tax on the retail sale of diapers.

    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 ``Improving Diaper Affordability Act 
of 2025''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) Diapers are an essential need for the health and 
        hygiene of babies and toddlers.
            (2) Families without adequate access to diapers face a 
        higher risk of poor health outcomes for their children, 
        including diaper rash, severe dermatitis, infections, and 
        hospitalization, while also posing a significant risk to 
        maternal mental health.
            (3) Families with diaper need lack a sufficient supply of 
        diapers to keep a baby or toddler clean, dry, and healthy.
            (4) 46 percent of families with children age 4 or below 
        struggle to provide the diapers their children need; this is an 
        increase from 1 in 3 families expressing diaper need before the 
        COVID-19 pandemic.
            (5) Low-income families make up 2 out of 3 families with 
        diaper need; a disproportionate amount of these families are 
        Black or Latino.
            (6) Annually, families spend between $945 and $1,500 on 
        diapers for a child under age 4; a low-income family of 4 
        spends 2.6 times more of their income on diaper costs compared 
        to a family of 4 making median income.
            (7) Diaper need affects not only the health and well-being 
        of the child but it can affect the economic security of the 
        entire family, forcing families with diaper need to cut back on 
        food purchases and personal savings.
            (8) 25 percent of parents and caregivers with diaper need 
        reported having to miss work or school because they did not 
        have enough diapers to drop their child off at childcare, and 
        reported missing, on average, 5.1 workdays in the past 30 days; 
        this represents a loss of $296 per month for a parent earning 
        the Federal minimum wage of $7.25 per hour.
            (9) No permanent State or Federal child safety-net program 
        allocates dollars specifically for the purchase of diapers.

SEC. 3. INCLUSION OF DIAPERS AS QUALIFIED MEDICAL EXPENSES.

    (a) Health Savings Accounts.--Section 223(d)(2) of the Internal 
Revenue Code of 1986 is amended by adding at the end of subparagraph 
(A) the following: ``Notwithstanding the first sentence, amounts paid 
for diapers shall be treated as paid for medical care.''.
    (b) Archer MSAs.--Section 220(d)(2)(A) of such Code is amended by 
adding at the end the following: ``Notwithstanding the first sentence, 
amounts paid for diapers shall be treated as paid for medical care.''.
    (c) Health Flexible Spending Arrangements and Health Reimbursement 
Arrangements.--Section 106 of such Code is amended by adding at the end 
the following new subsection:
    ``(h) Reimbursements for Diapers.--For purposes of this section and 
section 105, expenses incurred for diapers shall be treated as incurred 
for medical care.''.
    (d) Dependent Care Assistance and Dependent Care Flexible Spending 
Arrangements.--Section 129(e)(1) of such Code is amended by adding at 
the end the following: ``Such term shall include expenses incurred for 
diapers.''.
    (e) Limited Purpose Flexible Spending Arrangements and Health 
Reimbursement Arrangements.--Section 223(c)(1)(B) of such Code is 
amended by striking ``and'' at the end of clause (ii), by striking the 
period at the end of clause (iii) and inserting ``, and'', and by 
adding at the end the following new clause:
                            ``(iv) coverage under a flexible spending 
                        arrangement, or health reimbursement 
                        arrangement, that pays or reimburses for 
                        coverage described in clause (ii) (other than 
                        long-term care services and, in the case of a 
                        flexible spending arrangement, other than 
                        through insurance). Coverage shall not fail to 
                        be treated as coverage described in the 
                        preceding sentence solely by reason of paying 
                        or reimbursing expenses incurred for 
                        diapers.''.
    (f) Effective Dates.--
            (1) Distributions from health savings accounts.--The 
        amendments made by subsections (a) and (b) shall apply to 
        amounts paid after December 31, 2024.
            (2) Reimbursements.--The amendment made by subsections (c) 
        and (d) shall apply to expenses incurred after December 31, 
        2024.
            (3) Limited purpose hsa and hra.--The amendments made by 
        subsection (e) shall apply to months beginning after December 
        31, 2024.

SEC. 4. PROHIBITION OF RETAIL SALES TAXES.

    A State, or unit of local government of a State, may not impose a 
sales and use tax on the retail purchase of diapers.
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