HSA new administrator transfer issued a 1099-sa

[hmmtaxstuff2]

My HSA switched administrators and therefore transferred money from the old one to the new one.  The old administrator institution issued a 1099-SA with a normal distribution code of 1.  However, the money was strictly transferred from one account to another without any action on my part.  I did not take the money out for medical expenses.

The new administrator institution issued a 1099-SA for the actual amount of money I did use for medical expenses.  

Do I enter both 1099-SA's in turbo tax and just check that I used the transferred amount for medical expenses?  there are not other choices.

[KrisD15]

You can enter the 1099-SA and indicate that the total amount was rolled over. 

Next, enter the 1099-SA which was used for medical expenses. 

[dmertz]

If the only funds the left the old HSA during the year were those that were moved directly to the new HSA, no Form 1099-SA should have been issued and you should ask the old HSA custodian to correct the form to show $0 distributed, otherwise you would have to report it as a rollover as KrisD15 indicated.  However, treating it as a rollover involves the one-rollover-per-12-months limitation.  That limitation is not an issue if you did not roll over a distribution in the 12 months prior and will not do a rollover in the 12 months after, but you do not know what the future holds.  You don't want to limit yourself by reporting a rollover on a transfer that was actually not a distribution and rollover.  Also, if the new custodian properly treats it as a transfer and not a rollover, the new HSA custodian will not issue a Form 5498-SA that shows receipt of a rollover.  The reporting of a distribution and rollover without the Form 5498-SA confirming receipt of a rollover could raise a red flag with the IRS.