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reschech
New Member

Can I deduct Health Insurance Premiums Paid Out of Pocket on a Plan from the Marketplace?

We did not receive the advanced premium tax credit with the plan for any month in 2016. I reviewed the 1095-A Form that was received we did not receive a reduction in the insurance premium and this was paid for by after-tax dollars.
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Accepted Solutions
MinhT
Expert Alumni

Can I deduct Health Insurance Premiums Paid Out of Pocket on a Plan from the Marketplace?

You can claim all your medical bills and health insurance premiums (including those paid through the Marketplace) paid out-of-pocket as Medical Expenses in Schedule A - Itemized Deductions

Medical Expenses are subject to the 10% rule (or 7.5% if you are over 65) and you can only claim the excess over 10% (or 7.5%) of your Adjusted Gross Income.

Please note that Itemized Deductions will only "help" when they exceed your standard deduction.

For 2016, standard deductions are:

For a taxpayer under 65, not claimed as a dependent

  • $6,300 for Single
  • $12,600 for Married Filing Jointly, or Qualifying Widow(er) with dependent child
  • $9,300 for Head of Household
  • $6,300 for Married Filing Separately
  • If you are over 65 or blind, add $1,250 for each instance or add $1,550 each instance if single and not a surviving spouse

 In TurboTax, you can enter Medical expenses by following these steps:

  • Click on Federal Taxes
  • Click on Deductions & Credits
  • Under All Tax breaks, locate the section Medical and click on Show more
  • Click Start next to Medical Expenses.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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2 Replies
MinhT
Expert Alumni

Can I deduct Health Insurance Premiums Paid Out of Pocket on a Plan from the Marketplace?

You can claim all your medical bills and health insurance premiums (including those paid through the Marketplace) paid out-of-pocket as Medical Expenses in Schedule A - Itemized Deductions

Medical Expenses are subject to the 10% rule (or 7.5% if you are over 65) and you can only claim the excess over 10% (or 7.5%) of your Adjusted Gross Income.

Please note that Itemized Deductions will only "help" when they exceed your standard deduction.

For 2016, standard deductions are:

For a taxpayer under 65, not claimed as a dependent

  • $6,300 for Single
  • $12,600 for Married Filing Jointly, or Qualifying Widow(er) with dependent child
  • $9,300 for Head of Household
  • $6,300 for Married Filing Separately
  • If you are over 65 or blind, add $1,250 for each instance or add $1,550 each instance if single and not a surviving spouse

 In TurboTax, you can enter Medical expenses by following these steps:

  • Click on Federal Taxes
  • Click on Deductions & Credits
  • Under All Tax breaks, locate the section Medical and click on Show more
  • Click Start next to Medical Expenses.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
newt45
New Member

Can I deduct Health Insurance Premiums Paid Out of Pocket on a Plan from the Marketplace?

When I do this, it says "do not include premiums paid through healthcare.gov or your state exchange".   where do I enter premiums for self paid premiums for a plan found on my state exchange?
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