Sec. 202. Additional modifications to premium tax credit
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Section 36B(c)(3)(A) of the Internal Revenue Code of 1986 is amended— by inserting (determined without regard to subparagraphs (A), (C)(ii), and (C)(iv) of paragraph
(1)thereof and without regard to whether the plan is offered on an Exchange) after 1301(a) of the Patient Protection and Affordable Care Act , and by striking shall not include and all that follows and inserting shall not include any health plan that— is a grandfathered health plan or a grandmothered health plan, or includes coverage for abortions (other than any abortion necessary to save the life of the mother or any abortion with respect to a pregnancy that is the result of an act of rape or incest). . Section 36B(c)(3) of such Code is amended by adding at the end the following new subparagraph: The term grandmothered health plan means health insurance coverage which is offered in the individual health insurance market as of October 1, 2013, and is permitted to be offered in such market after January 1, 2014, as a result of CCIIO guidance. The term CCIIO guidance means the letter issued by the Centers for Medicare & Medicaid Services on November 14, 2013, to the State Insurance Commissioners outlining a transitional policy for non-grandfathered coverage in the individual health insurance market, as subsequently extended and modified (including by a communication entitled Insurance Standards Bulletin Series—INFORMATION—Extension of Transitional Policy through Calendar Year 2017 issued on February 29, 2016, by the Director of the Center for Consumer Information & Insurance Oversight of such Centers). The term individual health insurance market means the market for health insurance coverage (as defined in section 9832(b)) offered to individuals other than in connection with a group health plan (within the meaning of section 5000(b)(1)). . Section 36B(c)(3) of such Code, as amended by paragraph (2), is amended by adding at the end the following new subparagraph: Nothing in subparagraph
(A)shall be construed as prohibiting any individual from purchasing separate coverage for abortions described in such subparagraph, or a health plan that includes such abortions, so long as no credit is allowed under this section with respect to the premiums for such coverage or plan. Nothing in subparagraph
(A)shall restrict any health insurance issuer offering a health plan from offering separate coverage for abortions described in such subparagraph, or a plan that includes such abortions, so long as premiums for such separate coverage or plan are not paid for with any amount attributable to the credit allowed under this section (or the amount of any advance payment of the credit under section 1412 of the Patient Protection and Affordable Care Act). The treatment of any infection, injury, disease, or disorder that has been caused by or exacerbated by the performance of an abortion shall not be treated as an abortion for purposes of subparagraph (A). . Section 1412 of the Patient Protection and Affordable Care Act is amended by adding at the end the following new subsection: Advance payments under this section, and advance determinations under section 1411, with respect to any credit allowed under section 36B shall not be made with respect to any health plan which is not enrolled in through an Exchange. . Section 6055(b) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: If minimum essential coverage provided to an individual under subsection
(a)consists of a qualified health plan (as defined in section 36B(c)(3)) which is not enrolled in through an Exchange established under title I of the Patient Protection and Affordable Care Act, a return described in this subsection shall include— a statement that such plan is a qualified health plan (as defined in section 36B(c)(3)), the premiums paid with respect to such coverage, the months during which such coverage is provided to the individual, the adjusted monthly premium for the applicable second lowest cost silver plan (as defined in section 36B(b)(3)) for each such month with respect to such individual, and such other information as the Secretary may prescribe. This paragraph shall not apply with respect to coverage provided for any month beginning after December 31, 2019. . Section 36B(b)(2)(A) is amended by striking and which were enrolled and all that follows and inserting , or . Section 36B(b)(3)(B)(i) is amended by striking the same Exchange and all that follows and inserting the Exchange through which such taxpayer is permitted to obtain coverage, and . Section 36B(b)(3)(A) of such Code is amended to read as follows: The applicable percentage for any taxable year shall be the percentage such that the applicable percentage for any taxpayer whose household income is within an income tier specified in the following table shall increase, on a sliding scale in a linear manner, from the initial percentage to the final percentage specified in such table for such income tier with respect to a taxpayer of the age involved: In the case of household income (expressed as a percent of the poverty line) within the following income tier: Up to Age 29 Age 30-39 Age 40-49 Age 50-59 Over Age 59 Initial % Final % Initial % Final % Initial % Final % Initial % Final % Initial % Final % Up to 133% 2 2 2 2 2 2 2 2 2 2 133%-150% 3 4 3 4 3 4 3 4 3 4 150%-200% 4 4.3 4 5.3 4 6.3 4 7.3 4 8.3 200%-250% 4.3 4.3 5.3 5.9 6.3 8.05 7.3 9 8.3 10 250%-300% 4.3 4.3 5.9 5.9 8.05 8.35 9 10.5 10 11.5 300%-400% 4.3 4.3 5.9 5.9 8.35 8.35 10.5 10.5 11.5 11.5 For purposes of clause (i), the age of the taxpayer taken into account under clause
(i)with respect to any taxable year is the age attained by such taxpayer before the close of such taxable year. In the case of a joint return, the age of the older spouse shall be taken into account under clause (i). In the case of any taxable year beginning in calendar year 2019, the initial and final percentages contained in clause
(i)shall be adjusted to reflect— the excess (if any) of the rate of premium growth for the period beginning with calendar year 2013 and ending with calendar year 2018, over the rate of income growth for such period, and in addition to any adjustment under subclause (I), the excess (if any) of the rate of premium growth for calendar year 2018, over the rate of growth in the consumer price index for calendar year 2018. Clause (iii)(II) shall apply only if the aggregate amount of premium tax credits under this section and cost-sharing reductions under section 1402 of the Patient Protection and Affordable Care Act for calendar year 2018 exceeds an amount equal to 0.504 percent of the gross domestic product for such calendar year. . Except as otherwise provided in this subsection, the amendments made by this section shall apply to taxable years beginning after December 31, 2017. The amendment made by subsection (a)(4)(A) shall take effect on January 1, 2018. The amendment made by subsection (a)(4)(B) shall apply to coverage provided for months beginning after December 31, 2017. The amendment made by subsection
(b)shall apply to taxable years beginning after December 31, 2018.