Self-Employed Health Equity Adjustment to Lower Tax Hindrance Act of 2005

        [Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 727 Introduced in House (IH)]

109th CONGRESS
1st Session
H. R. 727

To amend the Internal Revenue Code of 1986 to allow the deduction for
health insurance costs of self-employed individuals to be allowed in
computing self-employment taxes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

February 9, 2005

Ms. Loretta Sanchez of California (for herself, Mr. Paul, and Mrs.
Kelly) introduced the following bill; which was referred to the
Committee on Ways and Means

_______________________________________________________________________

A BILL

To amend the Internal Revenue Code of 1986 to allow the deduction for
health insurance costs of self-employed individuals to be allowed in
computing self-employment taxes.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Self-Employed Health Equity
Adjustment to Lower Tax Hindrance Act of 2005''.

SEC. 2. ALLOWANCE OF HEALTH INSURANCE DEDUCTION FOR SELF-EMPLOYED
INDIVIDUALS FOR PURPOSES OF SELF-EMPLOYMENT TAX.

(a) In General.--Section 162(l) of the Internal Revenue Code of
1986 (relating to special rules for health insurance costs of self-
employed individuals) is amended by striking paragraph (4) (relating to
deduction not allowed for self-employment tax purposes) and
redesignating paragraph (5) as paragraph (4).
(b) Effective Date.--The amendment made by this section shall apply
to taxable years beginning after December 31, 2004.
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