My W2 has an amount in box 12 with code W for HSA contributions. The amount includes both my and my employer contributions for 2023. The amount is increasing my total income for 2023. I walked through the HSA section in TT but after covering the entire section my total income is not going lower. If I don't add line item 12 from my W2 then my total income goes down bringing down my tax bill. Can someone help explain why 12 W is counted towards my income raising my taxes and how I can avoid that?
