I withdrew some funds from my HSA in March 2019 du...
Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
deladron1
New Member

I withdrew some funds from my HSA in March 2019 due to an excess contribution in 2018. I believe that distribution should be taxable, right? The software says it's not.

I had two 1099-SA forms for 2019.  One was for regular distributions that I used to pay for medical expenses.  One was for this excess contribution withdrawal that was not used for medical expenses.  However, the software doesn't ask me whether I used the excess contribution distribution for medical expenses and it shows that none of my distributions are taxable.
1 Reply
dmertz
Level 15

I withdrew some funds from my HSA in March 2019 due to an excess contribution in 2018. I believe that distribution should be taxable, right? The software says it's not.

A return of excess contribution is reported on a code 2 2019 Form 1099-SA.  For a code 2 Form 1099-R, only the amount in box 2 is included as other income.  If the excess contribution was made through your employer, the excess amount itself should have been taxed as other income on your 2018 tax return.

Dynamic AdsDynamic Ads
v
Privacy Settings