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Deducting Health Insurance Premiums If You're Self-Employed

 

 

https://turbotax.intuit.com/tax-tips/home-ownership/deducting-health-insurance-premiums-if-youre-sel...

  1. Can I claim this deduction even if I choose the standard deduction?
  2. I purchased Affordable Care Act (Obamacare), can I claim this deduction?
  3. If the answers to 1 and 2 are yes, how do I do it in TurboTax Home & Business CD?
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1 Reply
PatriciaV
Expert Alumni

Deducting Health Insurance Premiums If You're Self-Employed

1. Yes, if you are self-employed, you may deduct your health insurance premiums as a business expense, even if you claim the standard deduction.

 

2. No. any health care premiums paid to the Marketplace are not deducted on Schedule C. Instead, you receive an adjustment to your taxable income "above the line" on Form 1040 Line 17.

 

3. The easiest way to find Form 1095-A is to use the Search box at the top right corner of the TurboTax header and enter "1095-a". Hit Enter and click the "jump to" link to go directly to that topic.

 

After you enter the information from Form 1095-A, look for the page "Do any of these situations apply?" Check the box for "Self-employed and bought a Marketplace Plan", choose the business that should be tied to this policy, and answer the remaining questions.

 

TurboTax will calculate the amount of Premium Tax Credit you should have received and how much you need to pay back (or how much more you'll receive). The actual premiums you paid plus/minus this adjustment is reported on Form 1040 Line 17. 

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