I am self-employed. I also receive a pension and spouse is employed. Can we deduct health ins premiums paid via pension & spouse's employment on Form 1040 line 29?

[pete-parkinson54]

My business has net income on Sched C and I receive 1099-MISC for all business income. Health Ins premiums are paid for insurance provided through spouse's employment (for spouse & child) and through my former employer (myself only).

[Coleen3 · Accepted solution]

No, that is strictly for self-employed persons who pay their insurance premiums Neither you nor your business pays for the insurance. See  below from the IRS.

Health Insurance Tax Breaks for the Self-Employed

IRS Tax Tip 2012-51

Starting in tax year 2011, this deduction is no longer allowed on Schedule SE (Form 1040), but you can still take it on Form 1040, line 29.

You must be one of the following to qualify:

• A self-employed individual with a net profit reported on Schedule C (Form 1040), Profit or Loss From Business, Schedule C-EZ (Form 1040), Net Profit From Business, or Schedule F (Form 1040), Profit or Loss From Farming.
  
  
• A partner with net earnings from self-employment reported on Schedule K-1 (Form 1065), Partner's Share of Income, Deductions, Credits, etc., box 14, code A.
  
  
• A shareholder owning more than 2 percent of the outstanding stock of an S corporation with wages from the corporation reported on Form W-2, Wage and Tax Statement.
  

The insurance plan must be established under your business.

• For self-employed individuals filing a Schedule C, C-EZ, or F, the policy can be either in the name of the business or in the name of the individual.