Advancing Youth Enrollment Act

II 116TH CONGRESS 1ST SESSION S. 2735 To amend the Internal Revenue Code of 1986 to reduce the applicable percentage under the premium assistance tax credit for households with young adults. IN THE SENATE OF THE UNITED STATES OCTOBER 30, 2019 Ms. BALDWIN (for herself, Mr. KING, and Mr. BOOKER) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to reduce the applicable percentage under the premium assistance tax credit for households with young adults. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Advancing Youth En- 4 rollment Act’’. 5 VerDate Sep 11 2014 15:44 Nov 02, 2019 Jkt 099200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S2735.IS S2735 pamtmann on DSKBC07HB2PROD with BILLS 2 •S 2735 IS SEC. 2. REDUCTION OF APPLICABLE PERCENTAGE FOR 1 CERTAIN TAXPAYERS. 2 (a) IN GENERAL.—Paragraph (3) of section 36B(b) 3 of the Internal Revenue Code of 1986 is amended by add- 4 ing at the end the following: 5 ‘‘(F) REDUCTION OF APPLICABLE PER- 6 CENTAGE FOR CERTAIN TAXPAYERS.— 7 ‘‘(i) IN GENERAL.—The initial and 8 final applicable percentages under clause 9 (i) of subparagraph (A) (after application 10 of clause (ii) of such subparagraph) shall 11 each be reduced (but not below zero) by— 12 ‘‘(I) in the case of an applicable 13 taxpayer with an eligible household 14 member who has not attained 31 15 years of age as of the close of the tax- 16 able year, an amount equal to the ap- 17 plicable percentage of 2.5 percentage 18 points, and 19 ‘‘(II) in the case of an applicable 20 taxpayer with an eligible household 21 member who has attained at least 31 22 years of age as of the close of the tax- 23 able year, an amount equal to the ap- 24 plicable percentage of— 25 VerDate Sep 11 2014 15:44 Nov 02, 2019 Jkt 099200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S2735.IS S2735 pamtmann on DSKBC07HB2PROD with BILLS 3 •S 2735 IS ‘‘(aa) 2.5 percentage points, 1 minus 2 ‘‘(bb) the amount equal to 3 the product of 0.5 percentage 4 points multiplied by the number 5 of years of age of such eligible 6 household member as of the close 7 of the taxable year in excess of 8 30. 9 ‘‘(ii) APPLICABLE PERCENTAGE.—For 10 purposes of clause (i), the applicable per- 11 centage shall be the amount (expressed as 12 a percentage) equal to the quotient of— 13 ‘‘(I) the total number of individ- 14 uals who— 15 ‘‘(aa) are taken into account 16 in determining the applicable tax- 17 payer’s family size under sub- 18 section (d)(1) and are covered 19 under the qualified health plan, 20 and 21 ‘‘(bb) have not attained 35 22 years of age as of the close of the 23 taxable year, and 24 VerDate Sep 11 2014 15:44 Nov 02, 2019 Jkt 099200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S2735.IS S2735 pamtmann on DSKBC07HB2PROD with BILLS 4 •S 2735 IS ‘‘(II) the total number of individ- 1 uals who are described in item (aa) of 2 subclause (I). 3 ‘‘(iii) ELIGIBLE HOUSEHOLD MEM- 4 BER.—For purposes of this subparagraph, 5 the term ‘eligible household member’ 6 means the youngest individual who— 7 ‘‘(I) is taken into account in de- 8 termining the applicable taxpayer’s 9 family size under subsection (d)(1) 10 and is covered under the qualified 11 health plan, and 12 ‘‘(II) has attained 18 years of 13 age but not attained 35 years of age 14 as of the close of the taxable year. 15 ‘‘(iv) ROUNDING.—Any reduction de- 16 termined under clause (i) shall be rounded 17 to the nearest 1⁄10 of 1 percentage point.’’. 18 (b) EFFECTIVE DATE.—The amendment made by 19 this section shall apply to taxable years beginning after 20 the date of the enactment of this Act. 21 Æ VerDate Sep 11 2014 20:33 Nov 04, 2019 Jkt 099200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\S2735.IS S2735 pamtmann on DSKBC07HB2PROD with BILLS