turbo tax self employed health insurance deduction

[beardsmcgee]

I read that health plans purchased via healthcare.gov or a state can be deducted as an expense for self employed businesses.   However, when I go to enter these premiums I see the following.

Don't enter premiums you paid for your employees or premiums paid through Healthcare.gov or your state marketplace.

I entered the 1095-A form.  Is there a way to verify that I am receiving that deduction from my gross income? Or is that form simply incorrect and i need to add the information there?

Thanks

[DoninGA]

The health insurance premiums paid when self-employed are entered on Schedule 1 Line 17 as an adjustment to income.  The total from Schedule 1 Part II flows to Form 1040 Line 10.

You can view your Form 1040 plus Schedules 1, 2 and 3 at any time using the online editions. Click on Tax Tools on the left side of the online program screen. Click on Tools. Click on View Tax Summary. Click on Preview my 1040 on the left side of the screen.

[beardsmcgee]

thanks! that is very helpful.  if i enter my premium amounts into the form, i can see the corresponding results in the areas you referenced.  So is the turbo tax text just incorrect? Is there anything else I should be aware of? i am not a tax expert but i'm certain that healthcare.gov / state exchanges can be deducted for the self employed as long as they meet certain criteria (eg: revenue equal or greater than premiums, etc)

[DoninGA · Accepted solution]

The health care premiums paid from the Form 1095-A when self-employed are automatically entered as self-employed health care premiums on Schedule 1.

[beardsmcgee]

thanks everyone, it was an error on my part.  i missed where i had to click a button to tie the 1095-A to the self employment business (i have both W2 and 1099 on this return)

[borderpilot]

I incorrectly entered my health insurance premiums as self employed, and they appear just as you stated on line 17 of Schedule 1, Part II.   I need to delete this entry, but am unable.

[TeresaM]

Please return to the Deductions and Credits section, from the left menu.  Then scroll down to Medical and Affordable Care Act (Form 1095-A). Go through again and select Edit for the Form 1095-A and it will show you this screen. Uncheck the box and it will unlink the insurance from the business. 

You can select which type of business and if you have more than one, it will show a dropdown to select which to link.

[GregS6]

My employer included my health insurance premiums in my W-2.  Where in turbotax do I enter the amount of these premiums so I get the adjustment to income?

[Vanessa A]

Unless you are itemizing your return, then you would not be able to get a deduction for the health insurance premiums. Medical expenses are only deductible for the amount in excess of 7.5% of your AGI.  So, if your AGI is $100,000, only your medical expenses over $7,500 will count towards your Itemized Deductions.

If you are not itemizing your deductions, then you cannot take a deduction for your premiums.

Two things...1) Be sure your employer did not include the premiums in your box 1 wages.  They generally do not.

2) It would be easier (if they are willing) to get them to send you a corrected W2 that does not include your premiums in your box 1 wages. 

[ccorrie]

Any idea how to add to this amount if it doesn't equal your total premiums? Self-employed, bought for my family through the Exchange, but my son entered college and could get better insurance at a cheaper price through their group plan. So, my 1095-A does not include the amounts I paid in premiums there...and the box 17 on Schedule 1 appears "locked" when you enter 1095-A data. I don't qualify for subsidies...so don't really need the 1095-A, but Turbo Tax warns me the IRS will not accept the return without it if I bought on the exchange.

[Clarice1]

I enter 5842 for my self employed health insurance in Schedule C; however, on Schedule 1 and Form 1040 it is included as 10,700. What is the problem here? Thank you.

[DianeW777]

Double check your entry using the steps in the link below. Depending on the insurance type it may need to be edited. Click the link for the type of health insurance you have.

• Where do I enter health insurance premiums if I am self employed?

@Clarice1