The "Homecare for Seniors Act" proposes to amend the Internal Revenue Code of 1986, allowing individuals to use funds from their Health Savings Accounts (HSAs) for certain home care expenses without incurring taxes. This legislation expands the definition of "medical care" for HSA distribution purposes to include "specified medical care," which encompasses both traditional medical care and newly defined "qualified home care." Qualified home care is defined as a contract providing three or more specific services in the recipient's residence, such as assistance with eating, bathing, dressing, continence, transferring, toileting, and medication adherence. These services must be delivered by a state-licensed provider or in a manner consistent with state requirements, and contracts between related parties are explicitly excluded. Additionally, the bill directs the Secretary of Health and Human Services, in consultation with the Secretary of the Treasury, to launch a public awareness campaign about these newly eligible in-home service expenses.
Referred to the House Committee on Ways and Means.
Taxation
Homecare for Seniors Act
USA119th CongressHR-4243| House
| Updated: 6/27/2025
The "Homecare for Seniors Act" proposes to amend the Internal Revenue Code of 1986, allowing individuals to use funds from their Health Savings Accounts (HSAs) for certain home care expenses without incurring taxes. This legislation expands the definition of "medical care" for HSA distribution purposes to include "specified medical care," which encompasses both traditional medical care and newly defined "qualified home care." Qualified home care is defined as a contract providing three or more specific services in the recipient's residence, such as assistance with eating, bathing, dressing, continence, transferring, toileting, and medication adherence. These services must be delivered by a state-licensed provider or in a manner consistent with state requirements, and contracts between related parties are explicitly excluded. Additionally, the bill directs the Secretary of Health and Human Services, in consultation with the Secretary of the Treasury, to launch a public awareness campaign about these newly eligible in-home service expenses.