dollars for over the counter medications, unless they are prescribed. In addition, for HSA and MSA's, the penalty tax if you do, goes from 10% to 20% and 15% to 20% respectively. I have no idea, with the exception of raising more revenue, why the federal government would either disallow the OTC medications from being coverable or increasing the penalty. In addition, how are they going to police this? It would seem the increase of government employees needed to oversee this would negate any funds risen. Anyway, if you have your physician prescribe your over-the-counter medication you are able to use your HSA and other named accounts to pay for it. You do not need to have it filled by a pharmacist, just have the prescription on file. Also, see if you can have the doc write it for a yearly supply.
