H.R. 4849 · Where this bill is now
In committee
Introduced in the House, sent to the Committee on Ways and Means, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned, Aug 1, 2025
What this bill does
In plain words · AI-written from the official summaryExpands health insurance tax credits permanently
This bill makes permanent some temporary changes to how the federal government helps people pay for health insurance. Right now, people making between 100% and 400% of the federal poverty level can get a tax credit to help them buy health insurance. The bill would remove that income cap, lower the costs people have to pay based on their income, and keep those costs from rising with inflation. The bill also repeals several Medicaid and Medicare rules that were enacted previously, including requirements for verifying eligibility and coverage periods.
How it affects you
If you buy health insurance through the government marketplace and don't get it through your job, this could mean larger tax credits to help pay your premiums, and the help wouldn't disappear if you earn more money. People who rely on Medicaid might see changes in eligibility verification and coverage rules, though the summary doesn't spell out exactly how those changes would affect individual enrollees.
Read the official summary (Introduced in House, Aug 1, 2025)
Protecting Health Care and Lowering Costs Act 2025
This bill makes permanent temporary provisions that generally expand eligibility for and increase the amount of the premium tax credit. This bill also repeals multiple Medicaid, Medicare, and health-related tax provisions enacted by the One Big Beautiful Bill Act (OBBBA).
Currently, eligible taxpayers may claim the premium tax credit, which applies toward the cost of obtaining health insurance through health insurance exchanges. To qualify, a taxpayer’s household income must meet or exceed 100% of the federal poverty level (FPL) and, after 2025, may not exceed 400% of the FPL (maximum income limit). For 2021-2025, the maximum income limit is eliminated, which generally expands eligibility for the premium tax credit.
Further, under current law, the amount of the premium tax credit is partially based on the taxpayer’s household income multiplied by the applicable percentage. The applicable percentage varies depending on which of six income ranges (adjusted for inflation after 2025) the taxpayer’s household income falls within. For 2021-2025, the applicable percentages are lowered and the adjustment of the applicable percentages for inflation is eliminated, which generally increases the amount of the premium tax credit.
The bill permanently eliminates the 400% maximum income limit, lowers the applicable percentages, and eliminates the inflation adjustment for the applicable percentages.
Finally, the bill repeals multiple Medicaid, Medicare, and health-related tax provisions enacted by the OBBBA, including
• certain Medicare and Medicare eligibility and verification requirements,
• the reduced window for retroactive Medicaid coverage, and
• premium tax credit verification requirements.
Written by AI (Claude) using only the official summary by the Congressional Research Service, the Library of Congress’s nonpartisan research staff. It can miss nuance, so check the official summary and the bill text for details.
1st SessionH. R. 4849
A BILL
Protecting Health Care and Lowering Costs Act of 2025
Sponsor: Rep. Adam Gray (D-CA-13) · Introduced Aug 1, 2025 · Taxation · 1 version of the text
Sources: Congress.gov actions and votes · bill text from GovInfo · latest official action Aug 1, 2025: “Referred to the Committee on Ways and Means, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.”