Lawmakers used the CARES (Coronavirus Aid, Relief, and Economic Security) Act to permanently remove the so-called medicine cabinet tax. This means that HSAs, health flexible spending accounts (“FSAs”), and health reimbursement arrangements (“HRAs”) can once again reimburse the costs of over-the-counter drugs with no prescription. This provision is effective for expenses incurred and amounts paid after December 31, 2019.
The Medicine Cabinet Tax Is Repealed
RELATED ARTICLES
Hausmann Group
March 27, 2019 1 min read
March 27, 2019 1 min read
Episode 3.1: Trends vs. Fads in Employee Benefits
What is a trend and what is a fad in the world of Employee Benefits? Two of our experts break down some of the hottest current ...
Hausmann Group
March 31, 2020 < 1 min read
March 31, 2020 < 1 min read
DOL Clarifies Coronavirus Exemptions to Paid Leave Laws
The Families First Coronavirus Response Act (FFCRA) requires covered employers to provide their employees with paid sick leave ...
Hausmann Group
June 11, 2020 < 1 min read
June 11, 2020 < 1 min read
Chart of Flex Plan Changes
Keeping track of what is required and what is optional for flexible spending account plans can get confusing. This chart pulls ...
COMMENTS