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Legislation introduced to exempt health savings contributions from taxation

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Legislation introduced to exempt health savings contributions from taxation

A bill before Congress proposes to exempt payments into healthsavings accounts from taxation under a provision of the Affordable Care Act, theoffice of U.S. Rep. Ami Bera said March 24.

Bera, D-Calif., and Rep. Charles Boustany, R-La., introducedH.R. 4832, the Health Savings Protection Act, to keep employees' contributions frombeing taxed with the imposition of the "Cadillac tax" intended to curtailextravagant health spending.

Health savings accounts are efficient means for employees tosave for unforeseen medical costs, Bera said in a statement.