AB541: Bill Text

LRB-2573/1

SWB:amn

2019 - 2020 LEGISLATURE

2019 Assembly BILL 541

October 14, 2019 - Introduced by Representatives Kulp, Tusler, Macco, Steffen, Skowronski, Plumer, Ott, Magnafici, Krug, Gundrum, Felzkowski, Edming, Dittrich, Brandtjen and Allen, cosponsored by Senators Kooyenga, Marklein, Bernier, Kapenga, Petrowski and Wanggaard. Referred to Committee on Judiciary.

AB541,1,3 An Act to create 815.18 (2) (im), 815.18 (2) (km) and 815.18 (3) (q) of the statutes; relating to: exempting health savings accounts and medical savings accounts from execution of judgment.

Analysis by the Legislative Reference Bureau

This bill exempts health savings accounts and medical savings accounts from execution of judgment. Under current law, certain property items are, with some exceptions, exempt from execution. Current law defines the term “exempt” to mean that property identified in the statutes as “exempt” is free from any lien obtained by judicial proceedings and not liable to seizure or sale on execution or on any provisional or final process issued from any court, or any proceedings in aid of court process. This bill adds health savings accounts and medical savings accounts to the list of property exempt from execution.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB541,1 Section 1. 815.18 (2) (im) of the statutes is created to read:

AB541,1,6 815.18 (2) (im) “Health savings account” means a health savings account described in 26 USC 223.

AB541,2 Section 2. 815.18 (2) (km) of the statutes is created to read:

AB541,2,3 815.18 (2) (km) “Medical savings account” means a medical savings account described in 26 USC 220.

AB541,3 Section 3. 815.18 (3) (q) of the statutes is created to read:

AB541,2,7 815.18 (3) (q) Health savings accounts; medical savings accounts. Assets held in, or amounts payable on account of, a health savings account, a medical savings account, or a similar plan or account.

AB541,2,8 (End)