HR 444119th CongressIn Committee

Native American Health Savings Improvement Act

Introduced: Jan 15, 2025

Standard Summary

Comprehensive overview in 1-2 paragraphs

Native American Health Savings Improvement Act would amend the Internal Revenue Code to ensure that individuals who are eligible for assistance from the Indian Health Service (IHS) or tribal health programs are not disqualified from contributing to a Health Savings Account (HSA) simply because they receive care through IHS or tribal health services. In practice, this clarifies that receiving hospital care or medical services under IHS or tribal programs does not count as “coverage under a health plan” that would disqualify someone from HSA eligibility. The change would take effect for tax years beginning after December 31, 2024. The bill is introduced in the 119th Congress and referred to the Ways and Means Committee.

Key Points

1Creates a new special rule in the HSA eligibility provisions to protect IHS/tribal program participants from losing HSA eligibility due to their health care coverage sources.
2Specifically adds a new subparagraph to IRC Section 223(c)(1) stating that receiving care under an IHS medical care program or tribal organization’s services does not count as being covered under a health plan for HSA purposes.
3Effective for taxable years beginning after December 31, 2024 (i.e., starting in 2025 and beyond).
4Title named the Native American Health Savings Improvement Act.
5Sponsored by Rep. Moolenaar (and Rep. Ruiz) and introduced in the House; referred to the Committee on Ways and Means.

Impact Areas

Primary group/area affected: Native American individuals eligible for IHS assistance or tribal health services who wish to participate in HSAs.Secondary group/area affected: Individuals seeking to use HSAs while relying on IHS/tribal health care, potentially expanding access to tax-advantaged savings for medical expenses.Additional impacts: Could influence HSA enrollment and contributions among Native communities; may affect how IHS/tribal health services interact with tax-advantaged savings accounts and contribute to broader policy discussions about healthcare access for Indigenous populations.

Generated by gpt-5-nano on Nov 18, 2025