I use veba account money to pay my health insurance premium. Do I need to report this on my federal taxes as income?

dianef336 · ‎June 4, 2019

MaryK1 · ‎June 4, 2019

No, you do not have to report VEBA distributions as income. There are no tax penalties levied upon employees or VEBA members who take distributions from a VEBA for qualified medical expenses which often include copays, coinsurance and deductibles as well as dental and vision payments.

However, because they are a tax free benefit, you cannot use the same medical premiums for medical expense deduction.

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View solution in original post

MaryK1 · ‎June 4, 2019

No, you do not have to report VEBA distributions as income. There are no tax penalties levied upon employees or VEBA members who take distributions from a VEBA for qualified medical expenses which often include copays, coinsurance and deductibles as well as dental and vision payments.

However, because they are a tax free benefit, you cannot use the same medical premiums for medical expense deduction.

**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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I use veba account money to pay my health insurance premium. Do I need to report this on my federal taxes as income?