@DMP2021 wrote:
If I report it as $1500 - actual employer contribution then my Tax Due amount decreases, as expected.
The tax should NOT decrease. Your W-2 already reflects that deduction, so entering code "W" on the W-2 should not change anything (AFTER you have gone through the HSA section to indicate that you qualify for an HSA).
While in the HSA section, do NOT say you made any HSA contributions, unless you contributed OUTSIDE of your paychecks. Just answer the questions so the program knows you qualify for the HSA (so it doesn't apply a penalty to the code "W" amount you entered).
