- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
My self-employment health insurance deduction from medical insurance premiums paid for by my single-member S-corp seem to flow through from my marketplace 1095-A fine, and are correctly shown in Sch 1: Self-Employed Health Insurance Deduction.
But, what about dental insurance deductions also purchased through the marketplace? I don't have a 1095-A for those, and in the K-1 entry box where health insurance premiums are mentioned turbotax has a note saying these figures aren't used anywhere.
Where do I enter dental insurance premiums?
Thank you.
Do you have an Intuit account?
You'll need to sign in or create an account to connect with an expert.
Accepted Solutions
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
I'm not sure if this is how you entered it, but what follows seems to be how to make the entries for this situation:
Because the S corp included on your W-2 the cost of healthcare, you effectively paid the healthcare cost yourself. When entering the Schedule K-1 (form 1120S):
- Mark the checkbox that indicates that you personally paid health insurance.
- For Health Insurance Premiums You Paid, enter just the amount paid for the dental insurance.
When entering the Form 1095-A:
- Mark the box indicating that you are self-employed and bought a Marketplace plan. (With respect to the self-employed health insurance deduction you are considered self-employed.)
- Associate the Marketplace insurance with your S corp income.
This combination should allow TurboTax to prepare Form 8962 to calculate your annual contribution amount and PTC. TurboTax should then include on Schedule 1 line 16 the sum of your annual contribution amount and the amount you paid for dental insurance. The only case I can see where there might be a problem is if the iterative calculation of PTC does not converge due to being on the threshold between two tiers on the percentage of the poverty line.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
Those are added to all the other medical expenses on the Sch A if you itemize deductions.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
No I don't think that is correct. I am not itemizing my deductions. I am claiming the self-employed health insurance deduction which shows up on Line 29 on the new 1040 Schedule 1. What shows up is the data from entering form 1095-A but I did not get one of these for separate dental insurance premiums.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
First, if you got the insurance thru the same company thru the ACA then both premiums will be on the ONE 1095-A form they issue. If they did not you will enter the dental insurance in the Sch C input section as if you did not get the 1095-A.... this is most unusual.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
No. I did not get insurance through the same company on the ACA. As non-pediatric dental insurance does not get a tax credit there is no 1095-A issued. But I understand it is still included in the self-employed health insurance deduction.
Also I am talking about an S-corp with a K-1 so there is no Sch C associated with this self-employment, so I don't understand how I can input it into this section?
I also can't work out how to manually override the number in Turbotax desktop.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
First NEVER override anything unless specifically told to do so by TT support ... overrides void the accuracy guarantee and may keep you from efiling.
Next, mentioning the S-corp to begin with would have been helpful ... watch for the screen in the K-1 entry section that asks about health insurance for you as an employee since you are an employee and should have been taking a salary and issuing yourself a W-2 since you are technically not self employed. @dmertz can you assist ?
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
you have a problem for a S-Corp shareholder. to deduct as self-employment health insurance, the IRS requires that the insurance must be included on your W-2 as wages (not subject to FICA or Medicare). not on w-2 or no W-2 then no deduction except on schedule A. in addition no salary can raise audit issues with the IRS. the IRS requires S-corp shareholders who perform services for their corp to take reasonable compensation. failure, if caught, will result insubstantial penalties interest and taxes.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
Thank you. However, the instructions by that check box do not make sense to me as I did not personally pay health and dental insurance premiums. The S-corp paid them directly. The amount is included on my W-2 as wages.
To the other poster, yes, I do have a reasonable salary from the S-corp and a W-2. That is not the reason for this post.
Thank you.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
However, following your instructions does allow me to add this extra premium for dental insurance paid directly by the S-corp and included in my W-2 wages, and calculates the deduction correctly. Not an entirely clear paragraph from Turbotax IMHO. Thank you for your kind assistance!
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
I'm not sure if this is how you entered it, but what follows seems to be how to make the entries for this situation:
Because the S corp included on your W-2 the cost of healthcare, you effectively paid the healthcare cost yourself. When entering the Schedule K-1 (form 1120S):
- Mark the checkbox that indicates that you personally paid health insurance.
- For Health Insurance Premiums You Paid, enter just the amount paid for the dental insurance.
When entering the Form 1095-A:
- Mark the box indicating that you are self-employed and bought a Marketplace plan. (With respect to the self-employed health insurance deduction you are considered self-employed.)
- Associate the Marketplace insurance with your S corp income.
This combination should allow TurboTax to prepare Form 8962 to calculate your annual contribution amount and PTC. TurboTax should then include on Schedule 1 line 16 the sum of your annual contribution amount and the amount you paid for dental insurance. The only case I can see where there might be a problem is if the iterative calculation of PTC does not converge due to being on the threshold between two tiers on the percentage of the poverty line.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
Thank you. This is a very clear answer.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
I appreciate the explanation by dmertz. It matches what other experts have posted on this question. However, it produced a faulty result in my case. (I’m using TT IRS Free File.)
First I entered the data from Form 1095-A. TT filled in “self-employed health insurance deduction” (Sch. 1, line 16) with the correct number: my out-of-pocket payments for medical insurance minus the PTC. So far, so good.
Then I entered my dental insurance payments in the K-1 section as dmertz describes. This caused Sch. 1, line 16, to drop by a large, random amount — the opposite of what it should have done.
- Mark as New
- Bookmark
- Subscribe
- Subscribe to RSS Feed
- Permalink
- Report Inappropriate Content
Where do I enter my dental insurance premiums for S-corp
TurboTax doesn't seem to always produce an optimal result when the iterative calculation does not converge. It might be necessary to do a manual calculation and explicitly enter the self-employed health insurance deduction amount. See the Self-Employed Health Insurance Deduction and PTC section IRS Pub 974:
Still have questions?
Make a post