Summary#
This bill would change federal tax law so that money paid for an abortion cannot be counted as a medical expense for the itemized medical deduction. The main change is to remove abortion payments from the list of expenses that taxpayers may use to reduce taxable income when they itemize medical costs. The stated policy goal is to make abortion expenses ineligible for the medical-expense deduction.
- Main change: Payments for an abortion are excluded from the medical and dental expense deduction on federal income tax returns.
- Who is affected: Taxpayers who itemize medical deductions and who paid for an abortion.
- Timing: The change applies to tax years that begin after the law is enacted.
- Current rule changed: Under current law, qualified medical expenses that exceed 7.5% of adjusted gross income can be deducted when itemizing; the bill removes abortion payments from those qualifying expenses.
- What is unclear: The bill does not define in detail what counts as an “amount paid for an abortion” (for example, out‑of‑pocket clinic fees, medication abortion costs, insurance premiums or reimbursements, travel or related medical care).
What it means for you#
- Taxpayers who itemize: If you itemize deductions and paid for an abortion, you would no longer be able to include that expense when calculating your deductible medical expenses. This could reduce your itemized deduction and raise your taxable income for that year.
- People who obtain an abortion: The bill would not change access to abortion services. It could reduce the tax benefit of paying for an abortion, so the after‑tax cost could be higher for people who pay out of pocket.
- People who do not itemize: Most taxpayers who take the standard deduction would not be directly affected on their federal return.
- Insured patients and insurers: The bill does not say whether insurance premiums or claims that cover abortion would be treated differently. It is unclear whether insurance reimbursements that offset abortion costs would be affected.
- Tax preparers and IRS: Tax returns that currently include abortion costs in medical expenses might need different reporting. The bill does not describe how such amounts would be identified or verified on tax forms.
Expenses#
No publicly available information.
- The bill text and summary do not include a fiscal estimate or cost estimate.
- This change could reduce allowable deductions for some taxpayers, which could increase federal income tax revenue; no estimate of potential revenue change is provided.
- The IRS may face some administrative or compliance costs to implement and enforce the exclusion (for example, form or guidance changes and potential auditing), but no estimate is provided.
- The bill does not list new fees, fines, or direct spending.
Proponents' View#
- The bill appears intended to prevent abortion payments from being treated as deductible medical expenses under the tax code.
- A possible argument for the bill is that it stops federal tax benefits from applying to abortion costs, aligning tax rules with the sponsors’ view that abortion should not be classified as health care for deduction purposes.
- Supporters may consider this a way to reduce federal financial support (via tax deductions) for abortion.
Opponents' View#
- One concern is that the bill would raise the after‑tax cost of abortion for people who pay out of pocket, which could disproportionately affect lower‑income individuals who qualify for and use the medical deduction.
- The bill does not explain how to identify or verify abortion payments on tax returns, which could create privacy or administrative issues for taxpayers and the IRS.
- It is unclear whether related expenses (travel, counseling, follow‑up care) or insurance payments would be excluded, leaving room for disputes and inconsistent treatment.
- There is no public fiscal estimate included, so the size of any revenue gain or the administrative cost to enforce the rule is unknown.