Association sends letter to Administration calling for support of bipartisan, bicameral legislation to provide savings for families, healthcare system
CHPA Calls for Repeal of ACA’s ‘Medicine Cabinet Tax’
Consumer Healthcare Products Association (CHPA)Jenni Terry, 202-429-9260
The Consumer Healthcare Products Association (CHPA) today submitted a letter to U.S. Treasury Secretary Jacob Lew, thanking the Administration for its recent efforts to enhance flexible savings arrangements’ (FSAs) benefits. The association is calling on the Administration to take a further step and support restoring over-the-counter (OTC) medicines’ eligibility under tax-preferred accounts including FSAs and health savings accounts (HSAs). The Affordable Care Act (ACA) included a provision that removed OTC medicine eligibility under FSAs and HSAs unless the non-prescription medicine is purchased with a doctor’s prescription.
“We applaud the Administration for its efforts to revisit options that serve in the best interest of consumers meeting their healthcare needs,” CHPA President and CEO Scott Melville said. “While the recent announcement allowing consumers to roll over as much $500 in their flexible spending arrangements is a step in the right direction, more must be done.”
“We are calling on Congress and the Administration to lift the restrictions on consumers’ ability to use tax-preferred accounts to purchase OTC medicines that millions rely on for their healthcare needs,” continued Melville. “Reversing this restriction and restoring eligibility of OTC medicines under FSAs and HSAs is a straightforward step that will assist American families in securing affordable healthcare.”
CHPA strongly supports the bipartisan, bicameral Restoring Access to Medication Act (S. 1647/H.R. 2835) introduced by Sens. Mary Landrieu (D-La.) and Pat Roberts (R-Kan.) in the Senate and Reps. Lynn Jenkins (R-Kan.) and John Barrow (D-Ga.) in the House of Representatives. The association’s letter urged the Administration to support this measure that would provide flexibility for American families to again utilize these medications in the most cost-effective, tax-efficient way and to work with Congress to restore this important consumer benefit.