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Deductions & credits
What state are you in? There are some states (I think) that do not allow HSA contributions to be tax-deductible. If your contribution is not tax-deductible, then you are paying your expenses with money that was subject to state income tax, which makes it permissible to include the expense as a state itemized deduction.
(Things get more complicated if you moved states, so that you have taxed contributions but are now in a tax-free state, or you have tax-free contributions and you moved into a taxable state. We'd have to think about whether your deductions are legit in that case, and I'm sure Turbotax is not sophisticated enough for that scenario.)
March 9, 2023
8:46 AM