To amend the Internal Revenue Code of 1986 to treat distributions from health savings accounts for funeral expenses of the account beneficiary as qualified distributions.

# HR 2436 Summary **What the Bill Does** This bill would allow people to withdraw money from their Health Savings Accounts (HSAs) to pay for funeral expenses without facing tax penalties. Currently, HSA funds are designated specifically for medical expenses, and withdrawing money for other purposes—including funeral costs—results in taxes and penalties. This bill would make funeral expenses a "qualified distribution," meaning withdrawals for this purpose would be treated the same as medical expense withdrawals. **Who It Affects** The bill primarily affects HSA account holders and their families.

HSAs are tax-advantaged savings accounts typically offered to people with high-deductible health insurance plans, so it would mainly benefit middle and working-class individuals with these types of accounts. Funeral homes and crematoriums could also be indirectly affected as a new funding source becomes available to grieving families. **Current Status** HR 2436 was introduced by Representative Kevin Hern (R-Oklahoma) and is currently in committee. The bill has not yet been voted on by the House and remains in the early stages of the legislative process.