I retired 12 years ago as a general partner for a medical organization. The organization still pays for my medical premiums and for my retirement income. I pay imputed income tax for the money the company pays for my medical premiums. I also pay taxes on the retirement income since it is considered to be payment for work done in years past. Turbo Tax puts both the imputed income and retirement income as if I was self-employed. This year Turbo Tax put about 8 or 9 years of the medical insurance payments (that are listed on my K-1 form as a deduction for medical expense box 13) on to form 6198 as Profit Loss due to medical expense. The total amount for all the years added together was in excess of $111,000.
From what I read you cannot carry medical expenses forward unless you are a small business and then you can carry the expenses forward for 20 years. I do not feel I am a small business except that I am not employed so I fall in the category of self-employed because there is no other way to categorize my income. Is Turbo Tax correct in having me claim 8-9 years of deductions for medical premiums paid by my previous organization because I paid imputed income tax on it and I'm considered self-employed?
