A website says: Section 162(I) of the Tax Code provides a special health insurance deduction for self-employed individuals. The deduction is for medical, dental or long-term care insurance premiums that self-employed people pay for themselves, their spouse and their dependents. But until May of last year it was not clear that premiums paid for Medicare coverage were allowable deductions under that section of the tax law. Then on May 1, 2012 the IRS issued Chief Counsel Advice (CCA) xxxxxxxxx which clarified that Medicare premiums are fully deductible.
Where do I take this deduction to get a self-employed medical ins deduction for Medicare premiums? Can I deduct my supplemental insurance? Can I deduct my wife's supplemental insurance?
To enter your self-employed medical insurance deduction for yourself and your wife (both Medicare and supplemental insurance),
To enter your self-employed medical insurance deduction for yourself and your wife (both Medicare and supplemental insurance),
Thank you, but I should have been clearer. I am self-employed as a partner in a partnership. So I don't file a Schedule C, but receive a K-1 from the partnership. So how do I add these medical insurance premiums in Turbotax?
I just answered the second aspect of my own question - where I entered the K-1 information, at the end of the questions there is a a screen which asks if I paid any heath insurance for myself. Thank you TurboTax Kitty for your comments.
Just to clarify: A Partner (you) can only use the Self Employed Health Insurance deduction if the Partnership paid for the insurance (including reimbursing you for it) and added it to "Guaranteed Payments" in Box 4 of your K-1.
TaxGuyBill -- I do not think you are correct. Note that Turbotax does allow you to enter additional health insurance premiums not listed on the K-1
"For partners, a policy can be either in the name of the partnership or in the name of the partner. You can either pay the premiums yourself or the partnership can pay them and report the premium amounts on Schedule K-1 (Form 1065) as guaranteed payments to be included in your gross income. However, if the policy is in your name and you pay the premiums yourself, the partnership must reimburse you and report the premium amounts on Schedule K-1 (Form 1065) as guaranteed payments to be included in your gross income. Otherwise, the insurance plan won’t be considered to be established under your business."
<a rel="nofollow" target="_blank" href="https://www.irs.gov/publications/p535#en_US_2016_publink1000208843">https://www.irs.gov/publications/p535#en_US_2016_publink1000208843</a>