II
119THCONGRESS
1
STSESSION S. 653
To amend the Internal Revenue Code of 1986 to treat membership in a
health care sharing ministry as a medical expense, and for other purposes.
IN THE SENATE OF THE UNITED STATES
FEBRUARY20, 2025
Mr. B
UDDintroduced the following bill; which was read twice and referred to
the Committee on Finance
A BILL
To amend the Internal Revenue Code of 1986 to treat mem-
bership in a health care sharing ministry as a medical
expense, and for other purposes.
Be it enacted by the Senate and House of Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. TREATMENT OF HEALTH CARE SHARING MIN-3
ISTRIES AS A MEDICAL EXPENSE AND NOT AS 4
INSURANCE. 5
(a) T
REATMENT AS A MEDICALEXPENSE.—Section 6
213(d)(1) of the Internal Revenue Code of 1986 is amend-7
ed by striking ‘‘or’’ at the end of subparagraph (C), by 8
striking the period at the end of subparagraph (D) and 9
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•S 653 IS
inserting ‘‘, or’’, and by adding at the end the following 1
new subparagraph: 2
‘‘(E) for membership in a health care shar-3
ing ministry (as defined in section 4
5000A(d)(2)(B)(ii) without regard to subclause 5
(IV) thereof), including— 6
‘‘(i) the sharing of medical expenses 7
with respect to such ministry, and 8
‘‘(ii) the payment of administrative 9
fees of such ministry.’’. 10
(b) H
EALTHCARESHARINGMINISTRYNOTTREAT-11
ED AS AHEALTHPLAN ORINSURANCE.— 12
(1) I
N GENERAL.—Chapter 79 of the Internal 13
Revenue Code of 1986 is amended by inserting after 14
section 7702B the following new section: 15
‘‘SEC. 7702C. TREATMENT OF HEALTH CARE SHARING MIN-16
ISTRIES. 17
‘‘For purposes of this title, a health care sharing min-18
istry (as defined in section 5000A(d)(2)(B)(ii) without re-19
gard to subclause (IV) thereof) shall not be treated as a 20
health plan or as insurance.’’. 21
(2) C
LERICAL AMENDMENT .—The table of sec-22
tions for chapter 79 of such Code is amended by in-23
serting after the item relating to section 7702B the 24
following new item: 25
‘‘Sec. 7702C. Treatment of health care sharing ministries.’’.
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•S 653 IS
(c) EFFECTIVEDATE.—The amendments made by 1
this section shall apply to taxable years beginning after 2
December 31, 2025. 3
Æ
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