Adjustments to gross income

[Marie743]

I am self employed and have paid for my health insurance premiums thru my wife's Kaiser plan (not associated with business) and have paid medicare premiums. How do I enter one half of these expenses on my 1040 under adjustments to gross income? The one half of the s/e tax has automatically switched over but I have to enter the other medical insurance premiums manually. How do I do this?

[DoninGA]

Since your health insurance is not associated with your business you cannot expense the premiums paid.

[Marie743]

I'm referring to medical insurance premiums that I paid (not thru the business) as a self employed person. That is how I derive my income so I thought the insurance premiums would be deducted as an adjustment.What are the thoughts?

[VolvoGirl · Accepted solution]

Please explain more.  Is your wife's Kaiser plan at her job?  Doesn't sound like you can deduct that.  How do you pay the Medicare?  Is it deducted from your Social Security checks?  You can deduct that as business.  

Medicare plan B payments are qualified as Self-employed medical insurance premiums and should be entered under Business instead of in the Social Security Benefits entry area.  So go back and take it off your SSA-1099 entry.

And why do you ask about entering one half of the amount?  You can enter the full amount.  And it has nothing to do with the SE tax.

Self-employed health insurance deduction goes on Form 1040 Schedule 1 line 17 then to 1040 line 10, as long as the expense is not greater than your net self-employment income. If it does exceed your net self-employment income it gets split automatically. An amount equal to your net self-employment income goes on Form 1040 Schedule 1 line 17 and the remainder gets added in to medical expenses on Schedule A.

[Marie743]

Are health insurance premiums tax deductible? Yes, they are deductible if you have qualifying insurance and if you're an eligible self-employed individual. Qualifying health insurance includes medical insurance, qualifying long-term care coverage and all Medicare premiums (Parts A, B, C and D). This is a quote taken from a google search.

[Marie743]

Great info. Thanks

[VolvoGirl]

Better read this link.  Can I deduct health ins when Self Employed?

https://ttlc.intuit.com/community/credits-and-deductions/help/can-i-deduct-my-health-insurance-premi...

Where to enter Self Employed Health Ins

https://ttlc.intuit.com/community/entering-importing/help/where-do-i-enter-my-health-insurance-premi...

[Marie743]

Thank you