The healthcare reform legislation signed into law by President Obama in March will impact over-the-counter (OTC) purchases with your AXIS FlexAccount beginning January 1, 2011. The guidance issued by the IRS in Notice 2010-49 in response to changes made by the Affordable Care Act, requires a doctor’s prescription for the reimbursement of OTC drug and medicines from health plans and tax-advantaged health care accounts like the AXIS FlexAccount.
The following categories will no longer be eligible for reimbursement without a prescription beginning January 1, 2011:
Acid Controllers
Allergy & Sinus
Antibiotics
Anti-Diarrheals
Anti-Gas Products
Anti-Itch & Insect Bite
Anti-Parasitic Treatments
Baby Rash Ointments/Creams
Cold Sore Remedies
Cough, Cold & Flu
Digestive Aids
Feminine Anti-Fungal/Anti-Itch
Hemorrhoidal Preps
Laxatives
Motion Sickness
Pain Relievers
Respiratory Treatments
Sleep Aids & Sedatives
Stomach Remedies
Items that continue to be eligible for reimbursement without a prescription include: insulin, medical devices (crutches, blood sugar monitors, etc.), bandages, contact lens solution, and denture bonds, as examples. We will post more information as it becomes available from the IRS on our website.
