A House Bill That Seeks to Remove Tax Credits for Abortion
In May 2011, The House passed a bill that would remove government tax breaks for any medical expense related to abortion.
The bill that was passed with a vote of 251 to 175 had all the Republicans and 16 of the Democrats rallying behind it.
The bill suggested among other things the remove all tax credits for abortion that are claimed as deductions under medical expenses.
It also removes any tax credits that are given to employers that provide Healthcare benefit to their employees if the Healthcare provider includes abortion as part of their coverage.
The health benefit providers include all health spending programs such as the Health Savings Accounts (HSAs), Medical Savings Accounts (MSAs), and Health Flexible Spending Arrangements (FSAs).
However, the bill allows for the deduction of expenses related to an abortion if the abortion is caused from a pregnancy out of incest or rape or if performed if the pregnancy posed a life threatening danger to the mother as diagnosed by a physician.
The passing of the bill comes amidst an outcry from abortion activists who viewed the move as curtailing abortion.
On their side, the supporters view the move as keeping the government funds away from a practice that has a large public objection.
Currently, the government spending on abortion is limited by the Hyde Amendment that is passed annually.
However, if the bill passes in Congress from bill to law, it would permanently enforce the Hyde Amendment.
Democrats, who majorly opposed the bill, said that the bill meant stretching the meaning of government spending to include the credits claimed by private spenders.
They felt that the bill was untimely and that attention should have been spent on addressing other pressing issues such as rising gas prices, the government deficit, and job creation.
They felt that it was not time to look into the morality of the law.
A critique of the bill reveals that indeed, the Republicans may be more interested in making a statement than they are about the tax credits.
The medical expenses credit is very broad today and virtually any medical expense can qualify for a credit.
From swimming costs to the costs of clarinet lessons, one can simply deduct almost all health and medical related expense.
Furthermore, medical expenses are part of the itemized deductions with the amount in excess of 7.
5% of the Adjusted Gross Income.
This amount will rise to 10% of the Adjusted Gross Income come 2013.
Therefore, removal of abortion as a deductible medical expense may not have significant impact on taxes.
However, looking at it from the Republican's perspective, abortion is one area that Republicans and Democrats part ways and a win against abortion generally translates to a win for Republicans.
However, when it comes to Congress, many Democrat Senators have downplayed the bill saying that it had no chance in Congress.
Furthermore, the Obama administration has already stated that the president would veto the bill, should it pass.
The bill that was passed with a vote of 251 to 175 had all the Republicans and 16 of the Democrats rallying behind it.
The bill suggested among other things the remove all tax credits for abortion that are claimed as deductions under medical expenses.
It also removes any tax credits that are given to employers that provide Healthcare benefit to their employees if the Healthcare provider includes abortion as part of their coverage.
The health benefit providers include all health spending programs such as the Health Savings Accounts (HSAs), Medical Savings Accounts (MSAs), and Health Flexible Spending Arrangements (FSAs).
However, the bill allows for the deduction of expenses related to an abortion if the abortion is caused from a pregnancy out of incest or rape or if performed if the pregnancy posed a life threatening danger to the mother as diagnosed by a physician.
The passing of the bill comes amidst an outcry from abortion activists who viewed the move as curtailing abortion.
On their side, the supporters view the move as keeping the government funds away from a practice that has a large public objection.
Currently, the government spending on abortion is limited by the Hyde Amendment that is passed annually.
However, if the bill passes in Congress from bill to law, it would permanently enforce the Hyde Amendment.
Democrats, who majorly opposed the bill, said that the bill meant stretching the meaning of government spending to include the credits claimed by private spenders.
They felt that the bill was untimely and that attention should have been spent on addressing other pressing issues such as rising gas prices, the government deficit, and job creation.
They felt that it was not time to look into the morality of the law.
A critique of the bill reveals that indeed, the Republicans may be more interested in making a statement than they are about the tax credits.
The medical expenses credit is very broad today and virtually any medical expense can qualify for a credit.
From swimming costs to the costs of clarinet lessons, one can simply deduct almost all health and medical related expense.
Furthermore, medical expenses are part of the itemized deductions with the amount in excess of 7.
5% of the Adjusted Gross Income.
This amount will rise to 10% of the Adjusted Gross Income come 2013.
Therefore, removal of abortion as a deductible medical expense may not have significant impact on taxes.
However, looking at it from the Republican's perspective, abortion is one area that Republicans and Democrats part ways and a win against abortion generally translates to a win for Republicans.
However, when it comes to Congress, many Democrat Senators have downplayed the bill saying that it had no chance in Congress.
Furthermore, the Obama administration has already stated that the president would veto the bill, should it pass.