BillM223
Expert Alumni

Get your taxes done using TurboTax

Line 12 on Schedule 1 is the direct or "personal" contribution to the HSA, which is not at issue here.

 

Line 8 on Schedule 1 is where Other Income is initially put, which flows through to line 7a on the 1040 itself. 

 

Let me clarify - you should receive two 1099-SAs: one for tax year 2019 with the amount of the excess contribution sent back to you, and the second early next year for tax year 2020 with the earnings.

 

So let's concentrate on why line 14b on the 8889 is blank.

 

We have gotten so far into the weeds that I missed something obvious. The amount of the excess contribution withdrawn before the due date of the return should appear automatically in line 12b, not 14b.

 

Only if you entered a 1099-SA with a distribution code of 2 and $814 in box 1 will the $814 appear on line 14b.

 

So it sounds like if you enter your phantom 1099-SA, the return will be the way you want. Try it.

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