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February 9, 2023
Question

If Form 8889-T, TurboTax is stating I need to check the HDHP coverage check box (Line 1). I never had coverage at any point with an HDHP. Do I leave this box blank?

  • February 9, 2023
  • 2 replies
  • 0 views
My HR department didn't realize I was not enrolled in an HDHP and allowed contributions each month. I am withdrawing my full amount to avoid excess taxation, but need to know how to fill out Line 1 (and 3 if necessary). TurboTax will not let me file with Line 1 unchecked.

2 replies

February 9, 2023

TurboTax has a design difficulty in the Review, in that it assumes that any taxpayer with a form 8889 must have HDHP coverage, which is why you are being asked to fill in this field on Line 1 for Self-only or Family. 

 

The design does not anticipate your situation in which you have a form 8889 because of your HSA distributions but never had any HDHP coverage.

 

The workaround in this case is to just check Self on line 1 of the 8889 so that you can clear the Review. You have already indicated that you had no HDHP coverage on Line 3 on the 8889, so all the numbers on the form will be correct - you are just doing this to bypass the Review.

 

You might make a note of what you did and why, not because the IRS will inquire, but because you may wonder next year why you did this...

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February 9, 2023

Thank you so much! It allowed me through and I was able to file.