BillM223
Expert Alumni

Deductions & credits

@rebsrogers

 

Until you have done the worksheet that I described above, I cannot be sure that your situation is due to the iterative situation as described in the links or due to your self-employed health insurance deduction being reduced by the SE tax deduction and the SIMPLE/SEP/qualified plan deduction. Most taxpayers are unaware of this limitation so I have to point it out.

 

Having said that, you indicated the desire to "edit the form".

 

In TurboTax Home & Business (the CD/download version), the self-employed health insurance deduction appears on line 16 of Schedule 1 (1040).

 

As you note, you cannot override it there. But in practice, if you follow a number to its origin, you should be able to modify the number there.

 

In this case, however, because of that line quoted above - "A self-employed health insurance adjustment of $XXXX.XX from premiums paid through an exchange is included as an adjustment to income but does not appear on these worksheets", we see that there is no worksheet showing the actual calculation (where we would normally do the override). The "$XXXX.XX" is $5,169 in my test

 

However, there may be a way to modify the line 16 entry, if you want to make it larger (it doesn't work to make it smaller).

 

Write down the line 16 amount. Then go into step-by-step mode and go back to expenses for the Business. Where it asks for health insurance expenses, go into that section. Yes, do this even though the numbers are actually coming from the 1095-A calculation. 

 

When I entered $2,000 on my test for the Health Insurance Premiums in the Business interview, it increased my $5,169 line 16 amount to $6,991. 

 

This new number is the result of the hidden calculation being reduced from $5,169 to $4,991 and then having the $2,000 added to it. This does not affect the net income on Schedule C.

 

Thus, if you know the number you want, and the number you want on line 16 is larger than what is there now, you can increase the line 16 amount in a somewhat unpredictable way by adding health insurance premiums in the regular Business interview. A little iteration and you should have something close to what you want.

 

 

Now I have to create a test case showing that the initial calculation is wrong (which may not be the case)...unless you have a case that fails that you would like to share.

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