This legislative proposal amends the Internal Revenue Code of 1986 to clarify eligibility for Health Savings Account (HSA) contributions for individuals who utilize employer-sponsored worksite health clinics. Currently, access to certain health benefits can disqualify individuals from contributing to an HSA, but this bill seeks to remove that barrier for specific services. It introduces a new rule stating that an individual is not considered covered by a disqualifying health plan solely due to their eligibility for, or receipt of, "qualified items and services" at an employer's healthcare facility. The bill specifically defines these "qualified items and services" to include a range of common health benefits. These encompass physical examinations , immunizations , non-prescribed drugs, and treatment for work-related injuries. Additionally, the definition covers preventive care for chronic conditions as outlined in IRS Notice 2019-45, along with drug testing and hearing or vision screenings. This amendment, effective for taxable years beginning after December 31, 2025, aims to encourage the use of worksite clinics without jeopardizing employees' ability to save for healthcare expenses through HSAs.
This legislative proposal amends the Internal Revenue Code of 1986 to clarify eligibility for Health Savings Account (HSA) contributions for individuals who utilize employer-sponsored worksite health clinics. Currently, access to certain health benefits can disqualify individuals from contributing to an HSA, but this bill seeks to remove that barrier for specific services. It introduces a new rule stating that an individual is not considered covered by a disqualifying health plan solely due to their eligibility for, or receipt of, "qualified items and services" at an employer's healthcare facility. The bill specifically defines these "qualified items and services" to include a range of common health benefits. These encompass physical examinations , immunizations , non-prescribed drugs, and treatment for work-related injuries. Additionally, the definition covers preventive care for chronic conditions as outlined in IRS Notice 2019-45, along with drug testing and hearing or vision screenings. This amendment, effective for taxable years beginning after December 31, 2025, aims to encourage the use of worksite clinics without jeopardizing employees' ability to save for healthcare expenses through HSAs.