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April 13, 2020
Question

1099 SA

  • April 13, 2020
  • 1 reply
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Why is the 1099 SA (box 5 HSA checked, distribution code 1) amount different than W2 Box 12 Code W?  If HSA contributions/spending are not taxed, why is it lowering taxes when entering 1099 SA?

    1 reply

    April 13, 2020

    code w  is what went into the HSA.

    on the 1099-SA that's what was taken out which needs to be reported.

    code 1 is a normal distribution and should not affect your taxes 

    and code w should not affect your taxes since the wages on line 1 should have been be reduced 

     

     

    if anything one would expect taxes to go up.

     

    we can't see your return so double check w-2 and 1099-sa entries

    also the entries for 8889.  you didn't enter the code w amounts on the 8889 did you - that's doulble dipping

    so also check you 88889 entries.