Religious Exemptions for Social Security and Healthcare Taxes Act

Summary

Permits employees who qualify under the existing statutory religious-exemption category to request a credit or refund of Social Security (FICA) tax that was withheld from their wages for years when they hold an authorization. The bill directs the Internal Revenue Code rule that governs authorizations for religious exemptions (the same rules used for the comparable self‑employment exemption) to apply to this new employee refund/credit process and applies to taxable years beginning after enactment. One short provision only establishes the Act's citation name.

• Creates a new refund/credit path for Social Security (FICA) tax withheld from employees who hold a qualifying religious exemption authorization.
• Applies to individuals who meet the eligibility described in the first sentence of 26 U.S.C. 1402(g)(1) (religious‑exemption category used for self‑employment tax).
• Uses the same rules and authorization periods already established for the religious exemption under the self‑employment tax rules.
• Takes effect for taxable years beginning after the date of enactment.
• Does not itself change appropriation or direct spending language; it modifies tax treatment and requires IRS administrative action.
• May require employers and payroll processors to change recordkeeping and refund handling processes.
• Could reduce Social Security payroll tax receipts for affected employees, with potential downstream effects if many claims are made.
• Section establishing the Act's short title is technical and does not change law or create programs.