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Employee
March 23, 2021
Question

self employed health insurance deduction

  • March 23, 2021
  • 3 replies
  • 0 views

I have a sch C. Can I deduct health insurance on my spouse that is paid for by my spouse. Neither of us are employed.

    3 replies

    March 23, 2021

    Yes, as long as your Schedule C business shows a net profit and the health insurance premium does not exceed that net profit, the amount paid (by either of you) for your spouse's health insurance premiums can be used as a self-employed health insurance deduction. 

     

    The insurance must not have been purchased through a Health Insurance Marketplace and neither you nor your spouse were qualified to be covered under an employer health plan.

     

    The self-employed health insurance deduction is entered through the Schedule C section of your return. 

     

    If you are using the TurboTax Online Self-Employed version, look in the Less Common Expenses section of the Schedule C.  Once you have expanded that section, look for the Health Insurance Premiums category to enter your information.

     

    If you are using the CD/downloaded Home and Business version of TurboTax, you will find the entry in the Schedule C section, then Business Expenses > Other Common Business Expenses > Insurance Payments > Health Insurance Premiums.

     

    Take a look at the following TurboTax article for more details:  Can I deduct health insurance premiums if I'm self-employed?

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    Employee
    March 25, 2021

    Thank you for your answer.  I was not sure since the 1040 Schedule 1 instructions says “...deduct the amount you paid for health insurance...”. I was reading this to mean that the Sch. C owner had to make the payment.

    DawnC
    Employee
    March 25, 2021

    You can deduct the payments for the health insurance on your Schedule C as long as your name is on the policy and you have net income.   

     

    Where do I enter my health insurance premiums if I'm self-employed?

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    Employee
    March 25, 2021

    My situation is a couple on Medicare with the premiums withheld from each of their social security payments.  Husband has a Schedule C.  He can deduct his part B medicare premiums, but can he also deduct his wife's part B medicare premiums?

    April 11, 2023

    Schedule 1 sec 2 will not let me put in my health prems. Its highlighted but when i click on it, the curser doesn’t appear.  

    DawnC
    Employee
    April 11, 2023

    Follow the instructions below to enter your self-employed health insurance deduction.   It can't be entered in Forms Mode directly on Schedule 1 - you have to go through the interview.  

     

    Where do I enter self-employment health insurance premiums?

     

    @Sardine1 

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