H.R. 4849 — Protecting Health Care and Lowering Costs Act of 2025

This section repeals Subtitle B of title VII of Public Law 119-21 (An Act to provide for reconciliation pursuant to title II of H. Con. Res. 14), which enacted certain health care provisions, and directs that any law or regulation referenced therein apply as if the subtitle and its amendments had not been enacted.

This section expands eligibility for the premium tax credit (PTC)—which subsidizes premiums for qualified health plans purchased through Affordable Care Act Exchanges—by eliminating the 400% of federal poverty line (FPL) household income limit (previously, ineligible above 400% FPL). It revises the applicable percentage table in section 36B(b)(3)(A) that determines households' required premium contributions on a sliding scale as follows: (1) up to 150% FPL, 0% to 0%; (2) 150% to 200% FPL, 0% to 2.0%; (3) 200% to 250% FPL, 2.0% to 4.0%; (4) 250% to 300% FPL, 4.0% to 6.0%; (5) 300% to 400% FPL, 6.0% to 8.5%; and (6) 400% FPL and higher, 8.5% to 8.5% (previously, no subsidy above 400% FPL after 2025). (Thus, households above 400% FPL receive a PTC covering premiums exceeding 8.5% of income.) The section also makes conforming amendments to remove related affordability exemptions and tests (i.e., striking provisions in section 36B(c)(1)(E), (c)(2)(C)(iv), and (c)(4)(F)). The changes apply to taxable years beginning after December 31, 2025.