I own a Sub-S corp. My son works in the business. We pay $3,600 towards employee health insurance. On his W-2, his wages (Box 1) are $3,600 higher than his SocSec Wages (Box 2). Our CPA says I should enter the $3,600 on Line 29 of the 1040 (Self-employed Health Insur Deduction), but I can't use Schedule C for this unless I report income too.
To enter Health Insurance Premiums you paid as a Self Employed S-Corporation Member:
- Type K-1 in Find
- Click the Jump to k-1s link
- Click through until you have the option to Update or Add your K-1
- If you've already entered your K-1, click Edit, if you haven't then click Add
- Enter all the applicable information or click through until you come to the Other Situations screen
- Check the box next to, "I personally paid health insurance...."
- Click Continue until you get to the Self Employed Health Insurance screen and enter the amount that was paid.