Federal Bill Aims to Amend IRS Code to Allow Health Savings Accounts for Vet Expenses

01Nov '24

Federal Bill Aims to Amend IRS Code to Allow Health Savings Accounts for Vet Expenses

BY: SAMANTHA BARTLETT, DVM

The People and Animals Well-being (PAW) Act, a bipartisan bill to expand the use of tax advantaged health care spending accounts to include veterinary care, has been introduced in Congress. The bill would amend Internal Revenue Code Section 213(d) increasing animal health eligibility including programs such as Health Savings Accounts (HSA) and Flexible Spending Accounts (FSA). 

The bill was introduced by Congresswomen Deborah Ross (D-NC) and Claudia Tenney (R-NY). The PAW Act seeks to allow pet owners up to $1000 in veterinary care expenses or purchase and animal health insurance plan through their HSA or FSA. Also included in this bill is limitless veterinary care expenses for service animals assisting individuals with mental and physical disabilities. 

The bill is supported by MetLife pet insurance, the American Veterinary Medical Association (AVMA) and the Human Animal Bond Research Institute (HABRI). MetLife’s head of pet insurance, Brian Jorgensen, stated that “this bill is a critical step towards promoting the health and well-being of pets by helping pet parents access the care their pets need while protecting their financial wellness.”

The current status of the PAW Act (H.R. 9508) is Introduced to the House Ways and Means Committee.

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