Overview
- Sen. Josh Hawley unveiled the No Taxes on Healthcare Act, pitching an above-the-line deduction that would be available to all filers rather than only itemizers above the 7.5% threshold.
- The proposal would allow up to $25,000 in deductible out-of-pocket medical expenses per individual or dependent and would permit deducting premiums paid out of pocket.
- Hawley said he presented the idea to President Donald Trump and reported that the president backed it, though the bill’s financing and legislative text have not been finalized.
- Hawley positioned his bill as separate from efforts to extend expiring Affordable Care Act subsidies, which are the subject of ongoing negotiations without a final deal.
- House Problem Solvers are crafting a two-year ACA subsidy extension with new limits and reforms, and Senate Democrats plan to bring forward their own extension proposal next week.