topic Deducting self-employed ACA premiums in Get your taxes done using TurboTax

Deducting self-employed ACA premiums

mc510 — Tue, 18 Mar 2025 21:18:53 GMT

Deducting self-employed ACA premiums

I understand that, as a self-employed person, the ACA insurance premiums that I pay are fully deductible from my income (income>ACA) and are not subject to the "7% of AGI" threshold. I don't see how to enter this properly in TurboTax Deluxe, however.

Under business expenses, the line for "medical insurance" says to not enter ACA premiums because they are handled through form 1095. But when you enter data from form 1095, TurboTax doesn't give you an opportunity to say that these are business expenses, and looking directly at Schedule 1 Line 17 there is no entry for "self employed health insurance deduction."

What is the correct way to handle this in TurboTax Deluxe so that these premiums get deducted and not subjected to the 7% threshold?

Re: Deducting self-employed ACA premiums

DoninGA — Tue, 18 Mar 2025 21:17:48 GMT

Go back and edit the Form 1095-A you entered. There will be a screen after the form entry asking if you were self-employed, check the box.

Re: Deducting self-employed ACA premiums

mc510 — Tue, 18 Mar 2025 21:21:16 GMT

Thank you @DoninGA , I had totally missed that check box!

Re: Deducting self-employed ACA premiums

bkrett01 — Wed, 16 Jul 2025 17:22:28 GMT

I have a related follow-up question. In looking at the forms that I will file, form 7206, line 14 says that the self employed insurance deduction is 0, yet on schedule 1, line 17, I am getting a deduction and I can't trace the amount to anywhere to verify the computation of that deduction. I have a rather complicated situation - an ACA plan and self employed, and also have some non-passive income from a k-1 (form 1065). Is there something wrong with the form?

Re: Deducting self-employed ACA premiums

LenaH — Tue, 22 Jul 2025 21:52:55 GMT

I am having trouble replicating your issue to determine the appropriate solution. I would like to take a deeper look at this. However, I need a diagnostic file which is a copy of your tax return that has all of your personal information removed. You can send one to us by following the directions below:

TurboTax Online:

Sign into your online account.
Locate the Tax Tools on the left-hand side of the screen.
A drop-down will appear. Select Tools
On the pop-up screen, click on “Share my file with agent.”
This will generate a message that a diagnostic file gets sanitized and transmitted to us.
Please provide the Token Number that was generated in the response.

TurboTax Desktop/Download Versions:

Open your return.
Click the Online tab in the black bar across the top of TurboTax and select “Send Tax File to Agent” *
This will generate a message that a diagnostic copy will be created. Click on OK and the tax file will be sanitized and transmitted to us.
Please provide the Token Number (including the dash) that was generated in the response.

*(If using a MAC, go to the menu at the top of the screen, select Help, then, “Send Tax File to Agent”)

@bkrett01

Re: Deducting self-employed ACA premiums

bkrett01 — Fri, 08 Aug 2025 14:16:18 GMT

how to I send the token number without it being seen by all in the community pages?

Re: Deducting self-employed ACA premiums

bkrett01 — Sat, 16 Aug 2025 13:34:27 GMT

Did you see my prior question?

Re: Deducting self-employed ACA premiums

VolvoGirl — Sat, 16 Aug 2025 16:15:47 GMT

@bkrett01 You post the token number in a reply so they can look it up. It is safe, it's only the number. This creates an anonymous copy of your file which is stripped of your Personal Info and uploads it to a diagnostic database for tech support so they can look it up.

If the forum filter removes it you can post a screen shot of it.