Federal return rejected - unable to answer medicare/hdhp question

Forum|Forum|4 months ago
April 3, 2026
7 replies
394 views

My federal tax return has been rejected twice for an issue in the HSA & HSA topic:

to resolve, I've been asked to walk through the the topic in the Deductions and Credits section, Medical section, and review my selections regarding Medicare and HDHP coverage. I do not have Medicare but I do have an HDHP. There isn't a question within the section to attest to the fact that I don't have Medicare. Please advise how to resolve this issue.

Best answer by AnnetteB6

I followed the reset instructions, deleted and re-entered by W-2s and HSA form. I re-transmitted my returns. both the Federal and State returns were immediately rejected again within 10 mins for the same reason. I'm not sure what to do to be able to file my returns. I don't have Medicare.

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:

Go to Deduction and Credits > Medical > 1099-SA, HSA, MSA and click Update
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.
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).
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.
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.)
Continue through the process to answer the same set of questions for your spouse, if applicable.
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.

@DAuman

@jrbunke

BillM223

Level 15

Can you tell us what the exact reject code and message are? You are right that there is no place in the HSA interview where you can say "I do not have Medicare", but I can't imagine the situation in which the Review process would care.

So help me out please with additional detail so that I can help you.

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DAumanAuthor

Level 2

here is the message that I received:

TY25_HSA - There is a potential issue related to HSA, MSA Contributions.

the instructions from Turbo tax for how to fix are:

There is a potential issue related to HSA, MSA Contributions

We've identified an issue in your federal tax return in HSA & MSA topic. To review and re-submit your return: 1) Navigate to the Deductions and Credits section in Federal. 2) Select the HSA, MSA topic under the medical section. 3) Walk through the topic and review your sections regarding Medicare and HDHP coverage. 4) Once you've reviewed your HSA & MSA entries and confirmed all of your information is correct, then proceed to Finish & File and re-submit your return.

I followed all of these steps and re-submitted the return. But the return was rejected a second time for the same reason.

BillM223

Level 15

So did this happen in the Federal Review and not after you clicked on File now?

I don't know that I have ever seen this message and it certainly doesn't make sense to me. However, I don't want to leave you hanging over the holiday weekend...

Let's do this - on the assumption that there is an unknown something in your HSA data that is upsetting the Review, please do an HSA Reset to delete all of your HSA data so you can restart the process.

HSA RESET

***Reset***

1. make a copy of your W-2(s) (if you don't have the paper copies)

2. delete your W-2(s) (use the garbage can icon next to the W-2(s) on the Income screen)

*** Desktop/Windows***

3. Go to the upper right and click on Forms, and

4. Select the desired form (1099-SA (if one), 8889-T, and 8889-S (if one)). Note the Delete Form button at the bottom of the form’s screen.

*** Desktop/Mac***

3. Switch to Forms Mode by selecting the Forms icon.

4. From the menu, select the form (1099-SA (if one), 8889-T, and 8889-S (if one)) you want to remove (if you don't see it, select Open Form at the top). From the Forms menu, select Remove [form name].

*** Online ***

3. go to Tax Tools (on the left), and navigate to Tools->Delete a form

4. delete form(s) 1099-SA (if one), 8889-T, and 8889-S (if one)

5. go back and re-add your W-2(s), preferably adding them manually

6. go back and redo the entire HSA interview....

If we don't hear from you, we'll know that it worked 😉

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