sole proprietor name on health insurance to get deduction

[wingba]

My wife is a sole proprietor of a small business.  We had to buy our insurance in 2019 as individuals directly from the insurance company.  I got a 1095-B that states both of us under the section of "Covered Individuals", but they only put my name as the Responsible Individual.

So my questions is if my wife can still declare the Health Insurance deduction as it appears that the insurance is in my name?  We meet all other requirements.

In the real life, we are just two individuals on the same plan, so I wouldn't think it mattered.

I already found an IRS Memo stating that the sole proprietor's name is okay, the insurance doesn't have to be in the business's name.

Thank you to anyone that can help shed some light on this.

[MinhT1]

The IRS says this about the self-employed health insurance deduction:

The insurance plan must be established, or considered to be established as discussed in the following bullets, under your business.

• For self-employed individuals filing a Schedule C, C-EZ, or F, a policy can be either in the name of the business or in the name of the individual.

So, strictly speaking, the insurance policy must be in the name of the business or in the name of your wife. Please check your insurance policy, and if necessary, change the policy holder going forward.

[wingba]

I tried to get our 2019 and 2020 insurance changed. They agree that we are two individuals on one policy and it doesn’t matter which one is listed as the responsible party. But they won’t update or change outside open enrollment. 
So your saying I’m out of luck, and I’ll lose two years of premium deductions in the $10,000s of dollars.  That’s a very hard pill to swallow. 
Thanks for your awnser but I still like to see if there are any other opinions. 

[DawnC]

As a self-employed individual who paid health insurance premiums- You can deduct up to 100% of health insurance premiums for you, your spouse and your dependents if you are self-employed and have a net profit from the business for which you created the plan.

Do not include:

- long-term care premiums - those are entered in another section

- any amounts paid from retirement plan distributions that were nontaxable because you are a retired public safety officer

- Any amounts included on Form 8885, Health Coverage Tax Credit, line 4

- Any advance monthly payments shown on Form 1099-H, Advance Payments for the Health Coverage Tax Credit

- Any payments for months you received the benefits of advance payments for the Health Coverage Tax Credit (Form 8885)

Do not include health insurance purchased through a Health Insurance Marketplace (also known as an exchange). These premiums are entered on Form 1095-A in the program. Also, do not include any amounts from line 4 of the Health Coverage Tax Credit (Form 8885).

If you or your spouse could participate (even if you declined coverage) in an employer's health plan at any time during a given month, you cannot take the deduction for that month.  However, payments for those months are deductible on Schedule A if you itemize deductions.

The deduction may be limited if the business has low net earnings. This means that you may not be able to deduct 100% of your premiums.  Your entry should be reduced by any reimbursement received.

[wingba]

Solution:

First I talked to my Health Insurance provider.  They said that they could move my wife name to be the responsible party, but only during open enrollment.

Second I talked to the IRS.  They said that I should get a letter from my Health Insurance Provider stated the reason why they could not change the current 1095B form.  Then go ahead and take the deduction.