the IRS requires that the health insurance for the 2%+ s/h be in the name of the s/h or the company. the S-Corp must pay the premiums either directly or by reimbursement to the shareholder if they paid. further, the health insurance must be included in taxable wages box 1 of the w-2. the s/h wages are reported on line 9 of the S-corp return no deduction for the insurance is taken on the S-Corp return. (it s deducted as comp to the s/h)
the insurance should also be reflected in box 14 of the s/h W-2
the IRS has ruled that if the insurance is not included in the w-2 it is not deductible by the s/h nor the corp.
on the Turbotax k-1 there should be a link to enter the health insurance premiums paid included on your w-2
in interview mode you should come to a screen that says other situations one of the lines is for your health insurance
