S. 1144 — PHIT Act of 2025

This section states the purpose of the Act to promote health and prevent disease, particularly diseases related to being overweight or obese, by (1) encouraging healthier lifestyles; (2) providing financial incentives to ease the financial burden of engaging in healthy behavior; and (3) increasing the ability of individuals and families to participate in physical fitness activities.

This section expands the definition of medical care under section 213(d)(1) of the Internal Revenue Code to include qualified sports and fitness expenses, subject to an annual limit of $1,000 ($2,000 for joint returns or heads of household). Qualified sports and fitness expenses include (1) fitness facility memberships (i.e., facilities providing physical exercise instruction or programs, excluding private clubs, golf/hunting/sailing/riding venues, and those with incidental fitness components); (2) participation or instruction in physical exercise or activity (including videos/books); and (3) related equipment used exclusively for such purposes (e.g., apparel/footwear necessary solely for a specific activity; $250 limit per non-exercise sports item); the amendments apply to taxable years beginning after enactment. (Thus, such expenses qualify for the itemized deduction for medical expenses exceeding 7.5% of adjusted gross income.)