223 of such Code is amended— (A) by striking subsections (b)(2) and (c)(2)(A) both places it appears and inserting subsection (c)(2)(A) , and (B) by amending subparagraph (B) to read as follows: (B) the cost-of-living adjustment determined under section 1(f)(3) for the calendar year in which such taxable year begins determined by substituting calendar year 2003 for calendar year 1992 . . (4) Section 26(b)(2) of such Code is amended— (A) by striking , 223(b)(8)(B)(i)(II), in subparagraph (S), and (B) by striking 223(f)(4) in subparagraph (U) and inserting 223(f)(3) . (5) Paragraph (1) of section 106(d) of such Code is amended by striking under an accident or health plan and all that follows and inserting under an accident or health plan. . (6) Subparagraph (C) of section 106(e)(4) of such Code is amended by striking 223(f)(5) and inserting 223(f)(4) . (7) Subparagraph (C) of section 408(d)(9) of such Code is amended— (A) by striking Limitations .— in the heading and all that follows through (ii) One-time transfer .— in clause (ii), and inserting One-time transfer .— , (B) by redesignating subclauses (I) and (II) as clauses (i) and (ii) and moving such clauses 2 ems to the left, and (C) by striking subclause (II) in clause (i), as so redesignated, and inserting clause (ii) . (8) Section 4973 of such Code is amended by striking subsection (g) and by redesignating subsection (h) as subsection (g). (c) Effective date The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act. 212. Freedom from mandate (a) In general Section 223 of the Internal Revenue Code of 1986, as amended by section 211, is further amended by striking subsections (c) and (g) and by redesignating subsections (d), (e), (f), and (h) as subsections (c), (d), (e), and (f), respectively. (b) Conforming amendments (1) Subsection (a) of section 223 of the Internal Revenue Code of 1986 is amended to read as follows: (a) Deduction allowed In the case of an individual, there shall be allowed as a