; and (C) by striking under subsections (b)(2) and (c)(2)(A) and inserting under subsection (b)(1) . (8) The table of sections for part VII of subchapter B of chapter 1 of the Internal Revenue Code of 1986 is amended in the item relating to section 223 by striking savings and inserting freedom . (g) Effective date The amendments made by this section shall apply with respect to months in taxable years beginning after the date of the enactment of this Act. 3. Exclusion for employer contributions to health freedom accounts (a) Employer exclusion (1) In general The Internal Revenue Code of 1986 is amended by inserting after section 106 the following new section: 106A. Contributions by employers to health freedom accounts Gross income of an employee does not include amounts contributed by such employee’s employer to a health freedom account of such employee. . (2) Exclusion for contributions by employer to accident and health plans The Internal Revenue Code of 1986 is amended by striking section 106. (3) Conforming amendment The table of sections for part III of subchapter B of chapter 1 is amended by striking the item relating to section 106 and inserting the following: Sec. 106A. Contributions by employers to health freedom accounts. . (4) Effective date The amendments made by this subsection shall apply with respect to employees hired on or after the date that is 5 years after the date of the enactment of this Act. (b) Transition rule (1) In general Section 106(d)(1) of the Internal Revenue Code of 1986 is amended to read as follows: (1) In general Amounts contributed by an employee’s employer to any health freedom account (as defined in section 223(d)) of such employee shall be treated as employer-provided coverage for medical expenses under an accident or health plan. . (2) In general The amendment made by this subsection shall apply with respect to taxable years beginning after the date of the enactment of this Act.