RETIRED AND RECEIVING A 1099-MISC

[Chum1]

I am retired and received a W2 with the employer-paid cost for health insurance for myself and my domestic partner as non-taxable income under box 12a, code DD.  I also received a 1099-MISC  showing the employer paid cost for only my partner's coverage (1/2 of the amount on the W2) under box 6 (Medical & Health Care Payments). Is this correct?  Do I need to file a Schedule C as Self-Employed because of this coverage?  Why wouldn't the taxable portion (my partner's) be included on the W2 as taxable rather than the 1099-MISC? Can this be reported under "Other Income" to avoid getting hit with the Self-Employment tax?

[MaryK4 · Accepted solution]

The imputed income should have been reported on your W2, not a 1099-MISC.  Box 6 is for payments to physician or other supplier or provider of medical or health care services and this is not correct either.  You should contact the employer and ask for a corrected W2.  It would be subject to FICA, but not SE tax so the employer should have paid one half.

If you do not receive a corrected W2, see How do I file a substitute W-2 using Form 4852?