efile rejected by federal and state for error code: TY_25_HSA

[altdel]

I keep getting efile rejected by Federal and State because of error code TY-25_HSA. I have followed the instructions on double-checking 1099-SA and everything checks out. TurboTax did not find anything wrong, but efile was repeatedly rejected for the same error code. 

How do I fix this issue?

[AnnetteB6 · Accepted solution]

If you are getting the HSA_2025 rejection code when trying to electronically file your return, try using the following steps to clear the internal condition that is causing the rejection code.  These steps have worked for some users to be able to refile with acceptance of their returns.  

Also, please note that you should not check the box indicating that you are ‘covered by Medicare’ unless you are receiving Medicare benefits rather than having HDHP insurance coverage.  This question is also asking about 2025, not 2026.  So if you are covered by Medicare in 2026, this check box does not apply to you.

Use these steps:

1. Go to Deduction and Credits > Medical > 1099-SA, HSA, MSA and click Update
2. Continue through the HSA section until you reach the page that asks if you were covered by a High Deductible Health Plan in 2025 and answer according to your situation.
3. Next, check any appropriate boxes on the page that asks Do any of these situations apply to you? (This is where it is important to be accurate about whether you were receiving Medicare benefits during 2025).
4. The next page asks what type of HDHP coverage did you have in 2025.  Check the box that says ‘I had different plan types at different times of the year’, then click Continue.  
5. On the next page, select the type of coverage for each month of the year according to your situation.  (If you were covered by Medicare in 2025, indicate that you had Medicare or None for any month you had Medicare coverage.)
6. Continue through the process to answer the same set of questions for your spouse, if applicable.
7. Keep clicking Continue until you are back at the main Deductions and Credits page.

At this point, you can go through the error check process and refile your return.

[altdel · Accepted solution]

Thanks for your suggestion, checking the box ‘I had different plan types at different times of the year’ and manually go through each month to select the same Family Plan does the trick.

Previously, I had chosen 'I had family plan coverage for the entire year' (or such similar language) that auto populated the individual months with Family Plan. I guess this code path is buggy and causes the e-filing to be rejected.