topic How can I deduct obamacare premiums under business expenses for self-employment if my wife is self employed and my employment doesn't offer healthcare? Default is 1040-A. in Deductions & credits

How can I deduct obamacare premiums under business expenses for self-employment if my wife is self employed and my employment doesn't offer healthcare? Default is 1040-A.

justjulio02 — Tue, 04 Jun 2019 19:57:55 GMT

Yes, you may be able to get a deduction but the deduction...

HelenaC — Tue, 04 Jun 2019 19:57:57 GMT

Yes, you may be able to get a deduction but the deduction is reported on Form 1040, not Form 1040A.

Any Health Insurance Marketplace premiums you paid will be reported on Form 1095-A, which you should get by mid-February.
Once you receive your 1095-A form, simply follow these directions to enter your 1095-A in TurboTax.
As you enter your 1095-A form, on the Do any of these situations apply? screen, check the box next to Self-employed and bought a Marketplace plan option.
TurboTax will check to see if you qualify for one or both of the deductions after you enter your premiums.

For additional information, click on Can I deduct my health insurance premiums when I’m self-employed?

To preview your 1040:

On the left navigation bar, click on Tax Tools, then Tools.
Under Tools Center screen click on View Tax Summary.
On the left navigation bar, click on Preview my 1040.

[Edited 1-31-18|9:35 am PST]

I meant 1040. Sorry. Turbotax is treating the premiums...

justjulio02 — Tue, 04 Jun 2019 19:57:58 GMT

I meant 1040. Sorry. Turbotax is treating the premiums as medical deductions (not as business deductions for the self-employment portion of the return). I have the checkbox clicked that states "self-employment and bought a marketplace plan" bought the premiums are just added into the medical deductions. It is definitely more advantageous for the premiums to be business deductions instead of healthcare deductions. I am not sure how to force turbotax to use them as business deductions instead of medical deductions. Thanks.

The deduction is generally limited to your net profit fro...

HelenaC — Tue, 04 Jun 2019 19:58:00 GMT

The deduction is generally limited to your net profit from your self-employment (or your self-employed earnings as a partner or your paid wages as a shareholder in an S corporation). Is your wife showing a net profit? See the additional information link.

Did you claim the Premium Tax Credit be taken as a monthl...

HelenaC — Tue, 04 Jun 2019 19:58:01 GMT

Did you claim the Premium Tax Credit be taken as a monthly subsidy?

Make sure your TurboTax CD\Download is updated.

HelenaC — Tue, 04 Jun 2019 19:58:02 GMT

Make sure your TurboTax CD\Download is updated.

No, we did not take Premium Tax Credit. Yes she has a ne...

justjulio02 — Tue, 04 Jun 2019 19:58:04 GMT

No, we did not take Premium Tax Credit. Yes she has a net profit. The net profit is about the same amount we paid for the year in healthcare premiums - so, in my mind, the healthcare premiums as a business deduction would end up having her income at zero for the year - which is more advantageous than deducing the premiums as a medical expense. I use the turbotax online portal, not from a CD.

Sorry. It is showing as TurboTax CD\Download next to your...

HelenaC — Tue, 04 Jun 2019 19:58:08 GMT

Sorry. It is showing as TurboTax CD\Download next to your name. Are your receiving a Premium Tax Credit on Form 1040 LIne 69? Preview your 1040. Perhaps your PTC has a greater tax benefit than your deduction. I will post how to "Preview my 1040".

The deduction for self-employed health insurance does not...

Zbucklyo — Tue, 04 Jun 2019 19:58:10 GMT

The deduction for self-employed health insurance does not reduce net profit from self-employment income on Schedule C - it is taken as an adjustment to income on Line 29 of Form 1040. Make sure you enter the premiums under Business Deductions and Credits in the interview for self-employment income.