Extension and modification of enhanced premium tax credit

(a) Extension of rules To increase premium assistance amounts Section 36B(b)(3)(A)(iii) of the Internal Revenue Code of 1986 is amended— (1) in the matter preceding subclause (I), by striking before January 1, 2026 and inserting before January 1, 2030, and (2) in the heading, by striking through 2025 and inserting through 2029. (b) Extension and modification of rule To allow credit to taxpayers whose household income exceeds specified amount Section 36B(c)(1)(E) of such Code is amended— (1) by striking through 2025.—In the case of and inserting through 2029.— (i) Before 2026 In the case of, and (2) by adding at the end the following: (ii) After 2025 In the case of a taxable year beginning after December 31, 2025, and before January 1, 2030, subparagraph (A) shall be applied by substituting but does not exceed 1000 percent for but does not exceed 400 percent.. (c) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2025.