Is My 2019 Health Plan Quality As HDHP in Georgia?

[FuskieBP]

If I had a healthcare exchange plan with a high deductible in 2019 that was not HSA enabled, does that qualify as a HDHP for Georgia tax purposes? It does not say HDHP in the name, nor was I allowed to contribute to my HSA last year. But it has a $4600 deductible and an OOP max of $7900, which I think qualify as high. Healthcare.gov says the OOP maximum is $6750 but I hope I am reading that wrong. https://www.healthcare.gov/glossary/high-deductible-health-plan/ My Healthcare Exchange premiums were all after-tax, not reimbursed through an HSA, and since I used the standard deduction, they were not itemized on my federal return. Your answer could sway $328! Thanks.

[BillM223]

The Georgia instructions say "19. An amount equal to 100 percent of the premium paid by the taxpayer during the taxable year for high deductible health
plans as defined by Section 223 of the Internal Revenue Code." (see page 15 in the instructions.)

The problem is that the definition of a High Deductible Health Plan under Section 223 is more than just the deductibles. You need to call your insurance carrier and ask if your policy is qualified as an HDHP under Section 223 of the Internal Revenue Code (they will know).

I don't know what "that was not HSA enabled" means. A policy is either a real HDHP and so can have an HSA, or it is not. You can't have a policy that is a true HDHP per Section 223 and not be allowed to have an HSA.

Based on what you have stated, it sounds like this policy was not a true HDHP, so the Georgia deduction is not allowed.

[Anonymous]

one of the qualifications to be able to contribute to a HSA is that the HDHP for self-only coverage have a maximum OOP of $6,750.  your reading of the law is spot on. sorry.   One other thing a HSA can not be used to reimburse medical insurance premiums. paying non-qualified expenses results in taxable income of the amount distributed for same + a 20% penalty.