Bill Overview
Title: To amend the Internal Revenue Code of 1986 to clarify that expenses for blood storage qualify as expenses for medical care.
Description: This bill expands the tax deduction for medical expenses to include expenses for storage of blood or biomaterial derived from blood.
Sponsors: Rep. Arrington, Jodey C. [R-TX-19]
Target Audience
Population: People incurring expenses for blood storage for medical purposes
Estimated Size: 3000000
- Taxpayers who require blood storage for medical reasons will be impacted by this bill.
- Individuals using services for autologous blood donation and storage for future medical procedures.
- People with medical conditions necessitating blood transfusions who pre-store their own blood are impacted.
- The general population may gain greater awareness of this option due to the tax deduction incentives.
Reasoning
- The target population includes individuals who are already incurring or planning to incur medical expenses related to blood storage. This group may not be evenly distributed across demographics, with certain medical conditions necessitating such services more frequently.
- According to estimates, approximately 1 to 6% of the US population might use these services, equating to about 3 million potential beneficiaries of the tax deduction. However, actual utilization could vary based on awareness and necessity.
- The budget limitations ($150 million in the first year and $1.71 billion over ten years) necessitate careful distribution to ensure that those in need receive appropriate tax benefits. This policy could broadly boost awareness if successfully marketed and perceived as financially supportive.
- Considering the common occupations and demographics that might be involved — such as people with chromic illnesses, upcoming surgeries or those engaging in preventative health measures — the inclusion of perspectives from various backgrounds adds depth to the understanding of policy impact.
Simulated Interviews
Nurse (Chicago, IL)
Age: 54 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 6/20
Statement of Opinion:
- The tax deduction would greatly help me manage the costs associated with storing my own blood for future transfusions.
- Right now, it's quite challenging to balance these costs with other medical expenses.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 8 | 5 |
| Year 5 | 8 | 4 |
| Year 10 | 8 | 4 |
| Year 20 | 7 | 3 |
Software Engineer (Seattle, WA)
Age: 38 | Gender: male
Wellbeing Before Policy: 7
Duration of Impact: 5.0 years
Commonness: 8/20
Statement of Opinion:
- It's wonderful to know I'll have some financial relief when storing my blood for surgery; it makes planning so much easier.
- I might even consider storing more for future needs too.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 5 |
PhD Student (Austin, TX)
Age: 29 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 3.0 years
Commonness: 10/20
Statement of Opinion:
- This tax benefit might allow more people like myself to actively engage in personalized health efforts.
- It seems like a good step in encouraging preventative health measures.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 5 |
| Year 10 | 5 | 5 |
| Year 20 | 5 | 4 |
Retired (Miami, FL)
Age: 66 | Gender: male
Wellbeing Before Policy: 4
Duration of Impact: 10.0 years
Commonness: 5/20
Statement of Opinion:
- This deduction will finally ease the financial burden I've consistently faced every year.
- Retirement income is tight, so every bit helps.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 4 |
| Year 2 | 6 | 4 |
| Year 3 | 7 | 3 |
| Year 5 | 7 | 3 |
| Year 10 | 6 | 2 |
| Year 20 | 6 | 2 |
Entrepreneur (Denver, CO)
Age: 45 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 5.0 years
Commonness: 4/20
Statement of Opinion:
- The policy could increase my client base as more people will see the value in storing their blood and biomaterials.
- A better-informed customer means more business opportunities for us.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 9 | 8 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 6 |
Artist (New York, NY)
Age: 33 | Gender: other
Wellbeing Before Policy: 6
Duration of Impact: 0.0 years
Commonness: 12/20
Statement of Opinion:
- I don't feel the policy applies to me, but it seems like a positive change for those who do need it.
- Maybe if the policy receives more attention, people would see storing blood as a precautionary measure.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 6 | 6 |
| Year 3 | 6 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 5 | 5 |
Electrician (Phoenix, AZ)
Age: 50 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 7.0 years
Commonness: 7/20
Statement of Opinion:
- I already went through surgery without this benefit, but knowing it's there gives peace of mind for the future.
- Maybe I'll consider storing more regularly now.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 7 | 5 |
| Year 5 | 6 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 3 |
Bioinformatics Analyst (San Francisco, CA)
Age: 41 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 4.0 years
Commonness: 7/20
Statement of Opinion:
- This tax deduction reinforces my belief in personal investing in my health.
- It makes these innovative approaches more accessible financially.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 6 | 5 |
| Year 20 | 6 | 5 |
Farmer (Rural Tennessee)
Age: 60 | Gender: male
Wellbeing Before Policy: 4
Duration of Impact: 0.0 years
Commonness: 14/20
Statement of Opinion:
- I'm not sure how this would affect me directly. At this point, it seems irrelevant.
- More information could change my stance, but right now, it doesn't impact me.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 4 | 4 |
| Year 2 | 4 | 4 |
| Year 3 | 4 | 4 |
| Year 5 | 4 | 4 |
| Year 10 | 4 | 4 |
| Year 20 | 3 | 3 |
Retired Teacher (Boston, MA)
Age: 73 | Gender: female
Wellbeing Before Policy: 5
Duration of Impact: 8.0 years
Commonness: 3/20
Statement of Opinion:
- I think this policy can relieve some financial stress given our family's situation.
- Being able to store my own blood for emergencies could be invaluable.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 7 | 5 |
| Year 3 | 6 | 5 |
| Year 5 | 6 | 4 |
| Year 10 | 5 | 4 |
| Year 20 | 5 | 3 |
Cost Estimates
Year 1: $150000000 (Low: $100000000, High: $200000000)
Year 2: $155000000 (Low: $103000000, High: $206000000)
Year 3: $160000000 (Low: $106000000, High: $212000000)
Year 5: $170000000 (Low: $113000000, High: $225000000)
Year 10: $190000000 (Low: $127000000, High: $253000000)
Year 100: $500000000 (Low: $335000000, High: $665000000)
Key Considerations
- Estimating the exact number of individuals using blood storage for medical purposes is difficult due to variations in medical advice and personal preferences.
- Behavioral responses to the tax deduction might increase utilization rates over time.
- Healthcare and tax policy changes can influence the long-term impact of this amendment.