Sponsors (4)
The bill reduces federal spending and federal mandates on coverage of specified gender transition procedures—giving states, insurers, and taxpayers more control and potential short‑term savings—while substantially reducing coverage and increasing costs, legal uncertainty, and health risks for transgender and gender‑diverse people (including minors and low‑income beneficiaries).
Taxpayers and some enrollees may face lower federal/state spending and potentially lower premiums because federal matching funds, Medicare/Medicaid payments, and some federal mandate obligations would no longer apply to the bill's enumerated gender transition procedures.
States retain primary decisionmaking authority to decide whether to cover these services using state funds, preserving state-level policy flexibility.
The bill preserves federal coverage for a set of specified medical exceptions (intersex-related treatments, life‑saving procedures, complication care, reconstructive surgery after prior transition, and precocious puberty), maintaining access for those specific medically necessary needs.
Transgender and gender‑diverse people — including Medicaid and Medicare enrollees, minors, low‑income individuals, and people with disabilities — would lose federally funded coverage and may lose tax deduction treatment for many transition‑related procedures, increasing out‑of‑pocket costs and reducing access to medically recommended care.
Removing the medical expense deduction and excluding procedures from federal programs shifts greater financial burden to families, young adults, and low‑income people who need transition‑related care, worsening affordability and tax equity.
Narrow statutory definitions tying 'sex' to biological characteristics at conception create legal uncertainty, risk conflicts with medical standards, and may expand eligibility exclusions or discrimination against gender‑diverse people.
Based on analysis of 6 sections of legislative text.
Disallows federal payment and tax-deduction support for a defined set of gender transition procedures across Medicare, Medicaid, CHIP, the ACA EHBs, and the medical expense tax deduction.
Official title: To deny tax deductions and other Federal funding for the costs of gender transition procedures.
Introduced May 5, 2025 by Claudia Tenney · Last progress May 5, 2025
Prohibits federal support and tax deductions for a wide set of medical services described as “gender transition procedures.” It removes those procedures from eligibility for Medicare payment, bars federal Medicaid and CHIP matching funds for them, prevents them from being required as part of essential health benefits, and denies federal income tax deduction treatment for such procedures for taxable years after enactment. The changes apply to services and payments furnished on or after enactment (with the tax change effective for taxable years beginning after enactment).