Assisting Doctors to Obtain Proficient and Transmissible Health Information Technology (ADOPT HIT) Act of 2005 - Amends the Internal Revenue Code to allow medical care providers: (1) to expense up to $250,000 of the cost of health care information technology for the exchange of medical information; and (2) a business tax credit for 50% of their telecommunication charges (defined as expenses of installing or maintaining a communications network that supports interoperability of electronic medical records systems), up to $10,000.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4641 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 4641
To amend the Internal Revenue Code of 1986 to increase the deduction
under section 179 for the purchase of qualified health care information
technology by medical care providers and to allow a credit against tax
for applicable telecommunications charges paid or incurred by such
providers.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 18, 2005
Mr. Gingrey (for himself, Mr. Norwood, Mr. Garrett of New Jersey, Mrs.
Capito, and Miss McMorris) introduced the following bill; which was
referred to the Committee on Ways and Means
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to increase the deduction
under section 179 for the purchase of qualified health care information
technology by medical care providers and to allow a credit against tax
for applicable telecommunications charges paid or incurred by such
providers.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Assisting Doctors to Obtain
Proficient and Transmissible Health Information Technology (ADOPT HIT)
Act of 2005''.
SEC. 2. PURCHASE OF QUALIFIED HEALTH CARE INFORMATION TECHNOLOGY.
(a) In General.--Section 179 of the Internal Revenue Code of 1986
(relating to election to expense certain depreciable assets) is amended
by adding at the end the following new subsection:
``(e) Health Care Information Technology.--
``(1) In general.--In the case of qualified health care
information technology purchased by a medical care provider and
placed in service during a taxable year--
``(A) subsection (b)(1) shall be applied by
substituting `$250,000' for `$100,000',
``(B) subsection (b)(2) shall be applied by
substituting `$600,000' for `$400,000', and
``(C) subsection (b)(5)(A) shall be applied by
substituting `$250,000 and $600,000' for `$100,000 and
$400,000'.
``(2) Definitions.--For purposes of this subsection--
``(A) Qualified health care information
technology.--The term `qualified health care
information technology' means section 179 property
which is used primarily for the electronic creation,
maintenance, and exchange of medical care information
to improve the quality or efficiency of medical care.
``(B) Medical care provider.--The term `medical
care provider' means any person engaged in the trade or
business of providing medical care.
``(C) Medical care.--The term `medical care' has
the meaning given such term by section 213(d).''.
(b) Effective Date.--The amendment made by this section shall apply
to property placed in service after December 31, 2004.
SEC. 3. TELECOMMUNICATIONS CREDIT FOR QUALIFIED MEDICAL CARE PROVIDERS.
(a) In General.--Subpart D of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 (relating to business related
credits) is amended by adding at the end the following new section:
``SEC. 45N. TELECOMMUNICATIONS CREDIT FOR QUALIFIED MEDICAL CARE
PROVIDERS.
``(a) General Rule.--For purposes of section 38, in the case of a
qualified medical care provider, the telecommunications credit
determined under this section for a taxable year is an amount equal to
50 percent of the applicable telecommunications charges paid or
incurred by such provider during the taxable year.
``(b) Dollar Limitation.--In the case of a qualified medical care
provider, the credit determined under subsection (a) for a taxable year
shall not exceed $10,000.
``(c) Definitions.--For purposes of this section--
``(1) Applicable telecommunications charges.--The term
`applicable telecommunications charges' means expenses paid or
incurred for the purpose of installing or maintaining a
communications network that supports interoperability of
electronic medical record systems.
``(2) Qualified medical care provider.--The term `qualified
medical care provider' means any person engaged in the trade or
business of providing medical care (as defined in section
213(d)) who has purchased qualified health care information
technology (as defined in section 179(e)).''.
(b) Conforming Amendments.--
(1) Section 38(b) of such Code is amended by striking
``plus'' at the end of paragraph (25), by striking the period
at the end of paragraph (26) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(27) the telecommunications credit determined under
section 45N.''.
(2) The table of sections for subpart D of part IV of
subchapter A of chapter 1 of such Code is amended by adding at
the end the following new item:
``Sec. 45N. Telecommunications credit for qualified medical care
providers.''.
(c) Effective Date.--The amendments made by this section shall
apply to expenses paid or incurred after December 31, 2004.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
Sponsor introductory remarks on measure. (CR H164)
Sponsor introductory remarks on measure. (CR H3146)
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