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Retirement tax questions
For the last several years Intuit has demanded that I withdraw several thousand dollars from my HSA account to avoid being taxed. The first time I foolishly followed there instructions even though I only contribute 3250 for that tax year. They are counting my HSA balance, accumulated over the last 10 or so years as taxable income. I did use my HSA to purchase an emergency medical kit and eyeglasses but these are legitimate medical expenses that came to less than 1000 dollars. So why is Intuit telling me that I need to withdraw over 5 grand to avoid being taxed? I'm trying to accumulate enough money to have expensive dental surgery which my company's lousy health care plan barely contributes. No one I know pays taxes on their HSA and I've asked almost everyone. I have colleagues with more than 30 grand in their accounts and they don't pay taxes on it. So why is Intuit insisting that my balance be less than 12 grand? It doesn't make sense.