Legislative Activity

The "Health Out-of-Pocket Expense Act of 2025" or the "HOPE Act of 2025" establishes tax-exempt "Hope Accounts" for eligible individuals to pay for qualified medical expenses. Contributions to these accounts are capped at \$4,000 annually for self-only or married individuals with family coverage, and \$8,000 for heads of household with family coverage, with employer and Medicaid contributions limited to 50% of the individual's limit. Distributions used for qualified medical expenses are tax-free, while non-qualified distributions are subject to income tax and a 30% penalty, with exceptions for distributions after death or due to disability. These provisions will take effect for taxable years beginning after December 31, 2025.

The "Semiconductor Technology Advancement and Research Act of 2025" or "STAR Act of 2025" incentivizes domestic semiconductor design by adding qualified semiconductor design expenditures to the advanced manufacturing investment credit. This includes a 25% tax credit for these expenditures, covering in-house and contract design expenses for semiconductor design conducted in the United States. This credit aims to boost innovation and development in semiconductor technology. The credit will terminate for construction beginning or expenditures made after December 31, 2036.

The "Charitable Act" modifies the tax deduction for charitable contributions for individuals who do not itemize deductions. For the 2026 and 2027 tax years, the deduction will be capped at one-third of the standard deduction amount for the individual. The Act also eliminates and redesignates certain penalty clauses in the Internal Revenue Code related to these deductions, updating references accordingly.

The "Hershel Woody Williams National Medal of Honor Monument Location Act" allows the National Medal of Honor Museum Foundation to build a monument on federal land in Washington, D.C., to honor Medal of Honor recipients. It places the National Medal of Honor Monument near the Lincoln Memorial, and overrides location restrictions to allow it to be within the Reserve, as defined in section 8902. All other provisions regarding commemorative works still apply.

This bill formally elects specific members to serve on the House of Representatives' standing committees for Armed Services, the Judiciary, Oversight and Government Reform, and Veterans Affairs. It confirms the representatives who will participate in these committees.

The Family First Act introduces several changes to the tax code, including an expanded child tax credit, a new tax credit for pregnant mothers, and simplification of the earned income credit. The act also eliminates the additional exemption for dependents and the head of household filing status. Additionally, it modifies the child and dependent care tax credit and removes the limitation on deducting state and local taxes for individuals.

The "Small Business Growth Act" increases the amount small businesses can deduct for depreciable assets, incentivizing investment in equipment and technology. It raises the expensing limit to $2,000,000 and the investment limitation to $3,500,000, adjusting the base year for inflation adjustments to 2026. These changes apply to property placed in service in taxable years beginning after December 31, 2025.

The "Low Income Housing for Defense Communities Act" aims to increase affordable housing options for military personnel and their families by modifying income calculations for low-income housing tax credits and tax-exempt bonds, excluding military basic housing allowances from income evaluations. It further incentivizes construction near large military installations by classifying buildings within 15 miles as located in a difficult development area, thereby increasing the available Low-Income Housing Credit. This act intends to support military communities by making housing more accessible and affordable.