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I owe $1550 back of my ACA premium tax credit. Can I deduct that amount as self employed health insurance premiums or does that deduction go under medical expenses?

 
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3 Replies
MinhT
Expert Alumni

I owe $1550 back of my ACA premium tax credit. Can I deduct that amount as self employed health insurance premiums or does that deduction go under medical expenses?

The repayment of the ACA premium tax credit is actually a part of your health insurance premiums paid and can be added to your self-employed health insurance. However, the total deduction is limited to the net profit of your self-employed business.

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I owe $1550 back of my ACA premium tax credit. Can I deduct that amount as self employed health insurance premiums or does that deduction go under medical expenses?

How do you do this?

BillM223
Employee Tax Expert

I owe $1550 back of my ACA premium tax credit. Can I deduct that amount as self employed health insurance premiums or does that deduction go under medical expenses?

@Odie63

 

If you linked your 1095-A to your Schedule C business, then when the repayment of the premium tax credit was calculated, it should have been carried automatically to line 16 on Schedule 1 (1040), subject to the limit that Minh described above.

 

Please check line 16 before you add anything.

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