Two separate Schedule Cs: Self-Employed Health Insurance entries on Sch C Line 15 don't combine on Form 1040, Line 29.Only one is shown; How to sum these?

Forum|Forum|6 years ago
May 31, 2019
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Two Schedule Cs: Husband's business + Wife's business. Both have legitimate, separate Self-Employed Health Insurance entries on Sched. C, Line 15; But they do not combine on Form 1040, Line 29; only the entry for one business is shown. Can this be fixed, so that the full payments for self-employed health insurance for both businesses are shown, summed together, (and deducted) on 1040? Thank you.

TurboTax Home & Biz Windows

Best answer by dmertz

Each business has to stand on its own with regard to having sufficient income to fund and receive a deduction on Form 1040 line 29 for the self-employed health insurance payments. Each business has to have sufficient net profit on Schedule C line 31 to cover the sum of self-employment health insurance deduction, the self-employed retirement deduction and the the deductible portion of self-employment taxes. The business that shows a loss is not eligible for any of these deductions.

Lisa995

Employee

Do you both show a profit on your Sch C's?

♪♫•*¨*•.¸¸♥Lisa♥ ¸¸.•*¨*•♫♪

adrosenbaumAuthor

Employee

One shows a profit, one shows a loss.

dmertzAnswer

Employee

meyerra

Yes, but a self employed person can take a deduction for both her health care premiums and those of her spouse if he was not eligible for a company sponsored plan. He does not need to be an employee or contributor to her business at all.

VolvoGirl

Employee

Hey, Schedule C line 15 is for something else. Your self employed health insurance should NOT show up on schedule C at all. Only on 1040 line 29. If you entered it as an expense on schedule C line 15 that is wrong and you will be deducting it twice. Line 15 says Insurance (other than health).

Self-employed health insurance deduction goes on Form 1040 line 29, 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 line 29, and the remainder gets added in to medical expenses on Schedule A.

dmertz

Employee

TurboTax's Schedule C forms-mode form has a box in margin to the left of line 15 where the amount paid for self-employed health insurance should appear (except in the case where Marketplace-purchased insurance is involved). As VolvoGirl indicated, only health insurance paid for employees (other than the self-employed individual) should appear on the actual Schedule C line 15.