Deduction of Health Insurance Premium for Retiree Medical Plan

[TomV1]

I am retired but have an LLC which I do some consulting under.  As a retiree, I am eligible for and  obtain retiree medical insurance through my previous employer for my wife and I and pay a monthly premium for this.  The health insurance plan was not set up by me for my business.  Can I deduct the premiums I paid for my retiree medical premiums?  Or would I only be able to deduct the premium for and insurance plan I set up through the LLC.  Thank you.

[ColeenD3]

You can deduct it as an Itemized Deduction as a medical expense on Schedule A, but not as a self-employed health insurance. You are still covered by your previous employer. The insurance plan must be established, or considered to be established as discussed in the following bullets, under your business.

[TomV1]

Thank you. That is what I thought and confirmation is appreciated

[LCAB8013]

Would this be the same if I am a retiree of the County of Orange, CA - I pay a large portion of my monthly medical premium on an after-tax basis?  If I already submitted my 2021 taxes would I have to do an admendment?  I did a Turbo Tax e-file for Federal - can than still be electronically amended?  Thank you

[FangxiaL]

Monthly medical premiums are qualified medical expenses. If you itemize your deductions, the portion of your total medical expenses over 7.5% of your AGI is deductible along with your other itemized deductions such as mortgage interest, property tax, and charitable contributions. You benefit from itemized deductions only if they are greater than your standard deduction.

If you do need to amend your tax return, you can e-file it.

@LCAB8013
 

[LCAB8013]

thank you!

[jjocjjoc]

I wanted to confirm similar question - I pay ~$1500 month for medical insurance through a RETIREE company plan. This is obviously after tax since not working any more. Are these premiums allowed to be included in Sch A itemized deductions, subject to 7.5% floor? Thank you! 

[DoninGA]

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@jjocjjoc wrote:

I wanted to confirm similar question - I pay ~$1500 month for medical insurance through a RETIREE company plan. This is obviously after tax since not working any more. Are these premiums allowed to be included in Sch A itemized deductions, subject to 7.5% floor? Thank you! 

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Yes, those premiums paid would be an itemized medical deduction on Schedule A subject to total medical expenses that are greater than 7.5% of your Adjusted Gross Income (AGI) that can be deducted