Is the money I have to repay for health care subsidy deductible as Healthcare cost?

Forum|Forum|3 years ago
March 25, 2023
2 replies
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I made about $20,000 this year so I received a large subsidy for Marketplace health care coverage. Unfortunately, I finally got a settlement in a defamation case that affected my reputation as a physician. Now I have to pay back the $10,000 in health insurance subsidy I received. Can I add that $10,000 to my healthcare costs? Seems like I should be able to do that.

Best answer by Critter-3

Yes ... any health insurance costs you must pay out of pocket are a Sch A deduction if you itemize deductions. The amount you need to pay back on the 2022 form 1040 will be reported on the 2022 Sch A.

Critter-3Answer

Scubasteve80

If your self employed can you not take the repayment as a deduction against your income rather than itemized deduction. If so how would you do that? I have the same circumstance this year due to a large capital gain. So I have to pay back my entire subsidy.

Mike9241

turbotax should do this automatically - net premiums paid + advance premium repayment