On form 8889 (HSAs), there are a few key lines:
Line 2 - Contributions you made for 2022, outside employer contributions. I made none - all were through employer deductions, so this is $0
Line 8 - This is the limit of allowed contributions for the year. I'm over 55, so it's the standard $7,300 plus the over 55 $1,000 so $8,300
Line 11 - This is the amount of employer contributions for the year - 9A on the worksheet, and then nothing else. Mine is $8,200 because my employer screwed up and cut it off at last year's limit. - So $8,200
Line 12 is line 11 minus line 8 - the amount under the limit that was contributed - so mine is $100
Line 13 is the smaller of line 2 ($0) and line 12 ($100) and TurboTax calculates this as $100. It then transfers this as a credit to Schedule 1, Section 2, Line 13, flowing through to 1040 Line 10, giving me a $100 taxable income reduction.
Call me crazy, but it seems to me that the smaller of $0 and $100 is $0. I shouldn't get a credit just for the amount under the annual limit I withheld.
Any idea what's going on, before I override it with $0?
