Section 1 Short title
This Act may be cited as the “Bob von Schwedler Permanent Health Coverage Tax Credit Expansion Act”.
Bob von Schwedler Permanent Health Coverage Tax Credit Expansion Act
A BILL
To amend the Internal Revenue Code of 1986 to make the health coverage tax credit permanent.
Sec. 2 Permanent credit for health insurance costs
In general— Section 35(b)(1) of the Internal Revenue Code of 1986 is amended to read as follows:
“(1) In general—The term “eligible coverage month” means any month if, as of the first day of such month, the taxpayer—
“(A) is an eligible individual,
“(B) is covered by qualified health insurance, the premium for which is paid by the taxpayer,
“(C) does not have other specified coverage, and
“(D) is not imprisoned under Federal, State, or local authority.”
Increase in credit percentage— Section 35(a) of the Internal Revenue Code of 1986 is amended by striking “72.5 percent” and inserting “80 percent”.
Conforming amendments—
Section 35(e)(2)(B)(i) is amended by striking “clauses (iii) and (iv) of subsection (b)(1)(A)” and inserting “subparagraphs (C) and (D) of subsection (b)(1)”.
Subsections (b) and (e)(1) of section 7527 of the Internal Revenue Code of 1986 are each amended by striking “72.5 percent” and inserting “80 percent”.
Effective date— The amendments made by this section shall apply to coverage months beginning after December 31, 2021.