H.R. 3010
119th CONGRESS 1st Session
To amend the Internal Revenue Code of 1986 to deny the deduction for advertising and promotional expenses for certain drugs.
IN THE HOUSE OF REPRESENTATIVES · April 24, 2025 · Sponsor: Mr. Murphy · Committee: Committee on Ways and Means
Table of contents
Sec. 280I. Disallowance of deduction for direct-to-consumer advertising of certain drugs.
- (a) In general
- No deduction shall be allowed under this chapter for expenses relating to direct-to-consumer advertising of covered drugs for any taxable year.
- (b) Direct-to-Consumer advertising
- For purposes of this section—
- (1) In general
- The term
direct-to-consumer advertisingmeans any dissemination, by or on behalf of a covered entity, of an advertisement which—- is in regard to a covered drug, and
- primarily targeted to the general public, including through—
- (i) broadcasting through media such as radio, television, and telephone communication systems, direct mail, and billboards, and
- (ii) dissemination on the Internet or through digital platforms (including social media, mobile media, web applications, digital applications, mobile applications, and electronic applications).
- The term
- (2) Exception
- Such term shall not include an advertisement made through publication in journals and other periodicals.
- (3) Other terms
- For purposes of this subsection—
- (A) Covered entity
- The term
covered entitymeans—- (i) a sponsor of a prescription drug product (as such term is defined in section 735(3) of the Federal Food, Drug, and Cosmetic Act), or
- (ii) a person that owns an outsourcing facility (as such term is defined in section 503B(d)(4) of such Act), either directly or indirectly through a subsidiary.
- The term
- (B) Covered drug
- The term
covered drugmeans—- (i) a prescription drug product (as such term is defined in section 735(3) of the Federal Food, Drug, and Cosmetic Act), or
- (ii) a drug compounded in accordance with section 503A or 503B of such Act.
- The term