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Kathy40
Returning Member

Return rejected due to Hsa

TP working full time has family high deductible plan and hsa contribs in 2025. Spouse previously had Spousal hsa, account still had deductions in 2025, but spouse turned 65 in 2025 and quit contributing after 2024. Should spouses’ 8889 hsa form be deleted entirely to e-file, and just gave taxpayer’s 8889 hsa form with return be only form filed with return for 2025?

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1 Reply
CatinaT1
Employee Tax Expert

Return rejected due to Hsa

If you are using TurboTax online and are getting the HSA_2025 rejection code when trying to electronically file your return, try using the following steps to clear the internal condition that is causing the rejection code. These steps have worked for some users to be able to refile with acceptance of their returns.  

Also, please note that you should not check the box indicating that you are ‘covered by Medicare’ unless you are receiving Medicare benefits rather than having HDHP insurance coverage. This question is also asking about 2025, not 2026. So if you are covered by Medicare in 2026, this check box does not apply to you.

Use these steps:

 

  1. Go to Deduction and Credits > Medical > 1099-SA, HSA, MSA and click Update
  2. Continue through the HSA section until you reach the page that asks if you were covered by a High Deductible Health Plan in 2025 and answer according to your situation.
  3. Next, check any appropriate boxes on the page that asks Do any of these situations apply to you? (This is where it is important to be accurate about whether you were receiving Medicare benefits during 2025).
  4. The next page asks what type of HDHP coverage did you have in 2025. Check the box that says ‘I had different plan types at different times of the year’, then click Continue. 
  5. On the next page, select the type of coverage for each month of the year according to your situation. (If you were covered by Medicare in 2025, indicate that you had Medicare or None for any month you had Medicare coverage.)
  6. Continue through the process to answer the same set of questions for your spouse, if applicable.
  7. Keep clicking Continue until you are back at the main Deductions and Credits page.

 
At this point, you can go through the error check process and refile your return.

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