,,ii  #aae? ,,congress  #a/ ,session    
,s4 #bh  ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$
 ,,/ates  ,janu>y #d1 #bjag,mr4 ,flake  
7= himself & ,mr4 ,johnson7 introduc$ ! 
foll[+ bill2 :i* 0 read twice & ref]r$  
to ! ,committee on ,f9ance  ,a ,,bill   
,to am5d ! ,int]nal ,rev5ue ,code (     
#aihf to exp& ! p]missible use ( heal?  
sav+s acc\nts to include heal? insurance
 paym5ts & to increase ! doll>          
limitation = contributions to heal?     
sav+s acc\nts1 & = o!r purposes4  #a4   
,%ort title ,?is ,act may be cit$ z !   
,heal? ,sav+s ,acc\nt ,expansion ,act ( 
#bjag4  #b4 ,adequate funds = heal?     
insurance plans  7a7 ,9 g5]al ,section  
#bbc7;b77#a7 ( ! ,int]nal ,rev5ue ,code 
( #aihf is am5d$ by /rik+ ! sum ( !     
mon?ly & all t foll[s ?r\gh eligible    
individual & ins]t+ #i1jjj 7#ah1jjj 9 ! 
case ( a jo9t return74  7b7 ,con=m+     
am5dm5ts  7#a7 ,subsection 7b7 ( su*    
,code is am5d$ by /rik+ p>agraphs 7#b71 
7#c71 & 7#e7 & by r$esignat+ p>agraphs  
7#d71 7#f71 7#g71 & 7#h7 z p>agraphs    

7#b71 7#c71 7#d71 & 7#e71 respectively4 
7#b7 ,section #bbc7;b77#b7 ( su* ,code  
7z r$esignat$ by p>agraph 7#a77 is am5d$
 by /rik+ ! la/ s5t5ce4  7#c7 ,section  
#bbc7;b77#d7 ( su* ,code 7z r$esignat$  
by p>agraph 7#a77 is am5d$ to read z    
foll[s3  7#d7 ,m$ic>e eligible          
individuals ,! limitation "u ?is        
subsection = any taxable ye> ) respect  
to an individual %all--  7,a7 9 ! case (
 ! fir/ taxable ye> 9 :i* su* individual
 is entitl$ to b5efits "u title ,,xviii 
( ! ,social ,security ,act1 be ! am\nt  
:i* be>s ! same proportion to ! am\nt 9 
effect "u p>agraph 7#a7 ) respect to su*
 individual z--  7i7 ! numb] ( mon?s 9 !
 taxable ye> dur+ :i* su* individual 0 n
 s entitl$1 be>s to  7ii7 #ab1 &  7,b7  
be z]o = any taxable ye> !reaft]4  4    
7#d7 ,section #bbc7;g77#a7 ( su* ,code  
is am5d$--  7,a7 9 ! matt] prec$+       
subp>agraph 7,a7 by /rik+ ,ea* doll>    
am\nt 9 subsection 7b77#b7 & ins]t+ ,9 !
 case ( taxable ye>s beg9n+ aft]        
,decemb] #ca1 #bjah1 ea* doll> am\nt 9  

subsection 7b77#a71 &  7,b7 by am5d+    
subp>agraph 7,b7 to read z foll[s3  7,b7
 ! co/-(-liv+ adju/m5t det]m9$ "u       
section #a7;f77#c7 = ! cal5d> ye> 9 :i* 
su* taxable ye> beg9s det]m9$ by        
sub/itut+ cal5d> ye> #bjag = cal5d> ye> 
#aiib4  4  7c7 ,effective date ,!       
am5dm5ts made by ?is section %all apply 
to taxable ye>s beg9n+ aft] ,decemb]    
#ca1 #bjag4  #c4 ,p>ity )               
employ]-provid$ heal? insurance2 direct 
prim>y c>e  7a7 ,9 g5]al ,section       
#bbc7;d77#b7 ( ! ,int]nal ,rev5ue ,code 
( #aihf is am5d$ to read z foll[s3  7#b7
 ,qualifi$ m$ical exp5ses  7,a7 ,9 g5]al
 ,! t]m qualifi$ m$ical exp5ses means1 )
 respect to an acc\nt b5efici>y1 am\nts 
paid by su* b5efici>y = m$ical c>e 7z   
def9$ 9 section #bac7;d77 = su*         
individual1 ! sp\se ( su* individual1 & 
any dep5d5t 7z def9$ 9 section #aeb1    
det]m9$ )\t reg>d to subsections        
7b77#a71 7b77#b71 & 7d77#a77;,b7 !re(7 (
 su* individual1 b only to ! ext5t su*  
am\nts are n comp5sat$ = by insurance or

 o!rwise4  7,b7 ,direct prim>y c>e  7i7 
,9 g5]al ,su* t]m includes exp5ses =    
direct prim>y c>e s]vice arrangem5ts4   
7ii7 ,direct prim>y c>e s]vice          
arrangem5ts ,= purposes ( clause 7i71 ! 
t]m direct prim>y c>e s]vice arrangem5ts
 means an arrangem5t "u :i* an          
individual is provid$ cov]age re/rict$  
to prim>y c>e s]vices 9 ex*ange = a fix$
 p]iodic fee or paym5t = prim>y c>e     
s]vices4  4  7b7 ,effective date ,!     
am5dm5ts made by ?is section %all apply 
to taxable ye>s beg9n+ aft] ,decemb]    
#ca1 #bjag4  #d4 ,fre$om f m&ate  7a7 ,9
 g5]al ,section #bbc ( ! ,int]nal       
,rev5ue ,code ( #aihf1 z am5d$ by       
sections #b & #c1 is am5d$ by /rik+     
subsection 7c7 & r$esignat+ subsections 
7d7 ?r\gh 7h7 z subsections 7c7 ?r\gh   
7g71 respectively4  7b7 ,con=m+ am5dm5ts
  7#a7 ,subsection 7a7 ( section #bbc ( 
su* ,code is am5d$ to read z foll[s3    
7a7 ,d$uction all[$ ,9 ! case ( an      
individual1 !re %all be all[$ z a       
d$uction = a taxable ye> an am\nt equal 

to ! aggregate am\nt paid 9 ca% dur+ su*
 taxable ye> by or on behalf ( su*      
individual to a heal? sav+s acc\nt ( su*
 individual4  4  7#b7 ,subsection 7b7 ( 
section #bbc ( su* ,code 7z am5d$ by    
section #b7 is am5d$ by /rik+ p>agraph  
7#e74  7#c7 ,section #bbc7;c77#a77;,a7 (
 su* ,code 7z r$esignat$ by subsection  
7a77 is am5d$-- 7,a7 by /rik+ subsection
 7f77#e7 & ins]t+ subsection 7e77#e71 & 
7,b7 9 clause 7ii7 by /rik+ ! sum (-- & 
all t foll[s & ins]t+ ! doll> am\nt 9   
effect "u subsection 7b77#a744  7#d7    
,section #bbc7;f77#a7 ( su* ,code 7z    
r$esignat$ by subsection 7a77 is am5d$  
by /rik+ subsections 7b77#a7 &          
7c77#b77;,a7 & ins]t+ subsection        
7b77#a74  7#e7 ,section #bf7;b77#b77,u7 
( su* ,code is am5d$ by /rik+ section   
#bbc7;f77#d7 & ins]t+ section           
#bbc7;e77#d74  7#f7 ,sections           
#ce7;g77#c71 #bbj7;f77#e77;,a71         
#hdh7;e77#a77v71 #digc7;a77#e71 &       
#fjea7;a77#ab7 ( su* ,code are ea* am5d$
 by /rik+ section #bbc7;d7 ea* place x  

appe>s & ins]t+ section #bbc7;c74  7#g7 
,section #ajf7;d77#a7 ( su* ,code is    
am5d$-- 7,a7 by /rik+ :o is an eligible 
individual 7z def9$ 9 section           
#bbc7;c77#a771 &  7,b7 by /rik+ section 
#bbc7;d7 & ins]t+ section #bbc7;c74     
7#h7 ,section #djh7;d77#i7 ( su* ,code  
is am5d$--  7,a7 9 subp>agraph 7,a7 by  
/rik+ :o is an eligible individual 7z   
def9$ 9 section #bbc7;c77 &1 &  7,b7 9  
subp>agraph 7,c7 by /rik+ comput$ on !  
basis ( ! type ( cov]age "u ! high      
d$uctible heal? plan cov]+ ! individual 
at ! "t ( ! qualifi$ ,,hsa fund+        
di/ribution4  7#i7 ,section             
#hgg;,a7g77#f7 ( su* ,code is am5d$ by  
/rik+ #bbc7;f77#d7 & ins]t+             
#bbc7;e77#d74  7#aj7 ,section #digc7;g7 
( su* ,code is am5d$--  7,a7 by /rik+   
section #bbc7;d7 & ins]t+ section       
#bbc7;c71  7,b7 9 p>agraph 7#b71 by     
/rik+ section #bbc7;f77#b7 & ins]t+     
section #bbc7;e77#b71 &  7,c7 by /rik+  
section #bbc7;f77#c7 & ins]t+ section   
#bbc7;e77#c74  7#aa7 ,section #dige (   

su* ,code is am5d$--  7,a7 9 subsection 
7c77#f7-- 7i7 by /rik+ section #bbc7;d7 
& ins]t+ section #bbc7;c71 &  7ii7 by   
/rik+ section #bbc7;e77#b7 & ins]t+     
section #bbc7;d77#b71 &  7,b7 9         
subsection 7e77#a77;,e71 by /rik+       
section #bbc7;d7 & ins]t+ section       
#bbc7;c74  7#ab7 ,section               
#ffic7;a77#b77;,c7 ( su* ,code is am5d$ 
by /rik+ section #bbc7;h7 & ins]t+      
section #bbc7;g74  7c7 ,effective date  
,! am5dm5ts made by ?is section %all    
apply to taxable ye>s beg9n+ aft]       
,decemb] #ca1 #bjag4  #e4 ,re/or+ ,l[]  
,p5alty = ,nonqualifi$ ,di/ributions    
7a7 ,h,s,as ,section #bbc7;e77#d77;,a7 (
 ! ,int]nal ,rev5ue ,code ( #aihf1 z    
am5d$ by section #d1 is am5d$ by /rik+  
#bj p]c5t & ins]t+ #aj p]c5t4  7b7      
,effective date ,! am5dm5t made by ?is  
section %all apply to di/ributions made 
9 taxable ye>s beg9n+ aft] ,decemb] #ca1
 #bjag4