Retirement tax questions

Health benefits are usually not reported on a 1099-R.    Boxes 15-17 are only for local taxes (rare).   Perhaps the issuer of the 1099-R was trying to give you some additional information and used a unused box to put it in.    Leave boxes 15-17 blank.

The easiest thing to do is to contact the pension administrator and ask if the money was taken out pre-tax or after-tax. If it's after-tax,you can include the premiums as health insurance premiums.  If the payments were made pre-tax, you cannot deduct them since they are already free from tax.

You can deduct any health insurance premiums you paid (including dental and vision insurance).

Please keep in mind the following about deducting your medical expenses, including health insurance:

• You don't get the benefit if you are taking the standard deduction.
• If you itemize deductions, you will only be able to take total medical expenses that are greater than:
• 10% of your adjusted gross income if you are under age 65; or
• 7.5% of your adjusted gross income if you are age 65 or over (born before January 2, 1951).

To enter your insurance premiums in TurboTax, please follow these steps:

1. Click on Federal Taxes > Deductions & Credits  [In TT Self-Employed:  Personal > Deductions & Credits > I'll choose what I work on].
2. In the Medical section, click on the Start/Revisit box next to Medical Expenses.  [See Screenshot #1 below.]
3. If you haven't yet entered any medical expenses, TurboTax will ask you if your total medical expenses exceed a certain number.  [That's the 10% AGI or 7.5% AGI mentioned above.]     [Screenshot #2] 
4. If you think your total medical expenses will exceed that number, click the blue Yes box and continue through the interview, entering the requested information on your medical expenses.
5. You will come to a screen, Enter Insurance Premiums, where you can make the entry for both health insurance and long-term care insurance premiums. [Screenshot #3]