PSO Deduction

[joe286]

I am a retired police officer and I am trying to see if the up to $3000 is for the supplemental insurance premiums I pay.  Below is how the tax form is displayed .

Public Safety Officer

If Joseph is an eligible retired public safety officer, you can exclude up to $3,000 of distributions made from Joseph's eligible retirement plan.

The distributions must be used to pay the premiums for accident, health, or long-term care insurance. The premiums can be for coverage for Joseph, Theresa, or any dependents.

Amount of Joseph's distribution, if any, used for PSO health insurance premiums:

[DoninGA]

You enter the Form 1099-R as you normally would.  There are follow-up screens with one of which will ask if you were a Public Safety Officer, answer Yes.  Continuing on there will be another screen asking how you paid for health insurance.  Enter the amount you paid, not to exceed $3,000.

On your Form 1040, on Line 5a will be the written PSO.  On Line 5b will be the taxable amount of your pension income less the amount you entered for health insurance.

[SharonD007]

Assuming that you are asking if you can deduct up to $3,000 from your income for qualified health insurance premiums. Yes, you can exclude up to $3,000 from your income. 

Follow the steps below to enter your 1099-R below so your qualified health insurance premiums are excluded from your income:

1. Launch TurboTax and type in Form 1099-R by the magnify glass in the search panel
2. Select Jump to 1099-R
3. Add your 1099-R or edit the 1099-R that had your health insurance deducted
4. Go through the questions and make sure to answer Yes to “this money came from employment as a Public Safety Officer (PSO)”
5. Enter Yes to “money was taken out to pay for health insurance”
6. Enter the amount of your pension that was paid directly to the plan administrator for health insurance.

[Edited 3/3/24|7:30 PM]

@joe286 

[alvarez126]

Thats exactly what I did.  But the work sheets shows way more?

[alvarez126]

Thanks, I will check.