@bgoodman1 wrote:
I was trying to get clarification from HR at my job and this was the response I was given:
anyone can be covered under the Medical H S A Plan. IRS rules only allow you to use pre-tax H S A funds for tax dependents. If you share custody or take turns claiming the child every other year, it’s possible that you can use the funds for your child. You’ll want to talk to your tax preparer to get advice.
HR is incorrect as it applies to your case. While they are generally correct that an HSA can only be used to pay for medical expenses for yourself, your spouse, and dependents you claim on your tax return, there are a couple of exceptions, including for children of divorced or separated parents.
For this purpose, a child of parents that are divorced, separated, or living apart for the last 6 months of the calendar year is treated as the dependent of both parents whether or not the custodial parent releases the claim to the child’s exemption.
See bottom of page 9 and top of page 10. https://www.irs.gov/pub/irs-pdf/p969.pdf
