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My wife is self employed but gets her health insurance through me. Can we deduct any of that cost as a business expense

 
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3 Replies
DanielV01
Expert Alumni

My wife is self employed but gets her health insurance through me. Can we deduct any of that cost as a business expense

Are you covered through work or is it a marketplace or private plan that you pay out-of-pocket?
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My wife is self employed but gets her health insurance through me. Can we deduct any of that cost as a business expense

I am covered through my employer as pay for the plan that covers her.
DanielV01
Expert Alumni

My wife is self employed but gets her health insurance through me. Can we deduct any of that cost as a business expense

No, you will not be able to deduct the health insurance costs.  (I do want to apologize that I didn't see your comment and get back sooner).  While there is a deduction for self-employed health insurance premiums, the deduction is disallowed if either the self-employed individual is covered (or may be covered) through their employer or their spouse's employer.  Please see this link:  https://www.irs.gov/publications/p535/ch06.html#en_US_2016_publink1000208843, and scroll down to "Other Coverage", where you'll see the following:  

Other coverage.   You can’t take the deduction for any month you were eligible to participate in any employer (including your spouse's) subsidized health plan at any time during that month, even if you didn’t actually participate. In addition, if you were eligible for any month or part of a month to participate in any subsidized health plan maintained by the employer of either your dependent or your child who was under age 27 at the end of 2016, don’t use amounts paid for coverage for that month to figure the deduction.

  These rules are applied separately to plans that provide long-term care insurance and plans that don’t provide long-term care insurance. However, any medical insurance payments not deductible on Form 1040, line 29, can be included as medical expenses on Schedule A (Form 1040), if you itemize deductions.

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