Bill > S1719

This bill aims to enhance primary care by modifying the Internal Revenue Code to provide more flexibility and tax benefits for direct primary care service arrangements (DPCAs). Specifically, the bill allows DPCA fees to be treated as medical expenses for tax purposes, with a monthly limit of $150 per individual (or $300 for arrangements covering multiple people). The bill defines a DPCA as a medical care arrangement providing only primary care services by primary care practitioners for a fixed periodic fee, explicitly excluding complex procedures requiring general anesthesia and certain laboratory services. The legislation also ensures that DPCAs will not disqualify individuals from contributing to health savings accounts (HSAs) and requires employers to report DPCA fees on employees' W-2 forms. These changes are designed to make primary care more accessible and affordable by creating tax incentives for direct care arrangements, where patients pay a consistent monthly fee directly to their primary care provider without involving traditional insurance. The provisions will take effect for months beginning after December 31, 2025.

Budget and Finance

https://www.congress.gov/bill/119th-congress/senate-bill/1719/all-info