Randall Posted February 24, 2016 Report Share Posted February 24, 2016 We discussed this last year with the S Corp shareholder health insurance. With ACA, Corp not paying the insurance, shareholder is paying from personal funds. W2 showing same amount in boxes 1,3,5. The question is can the shareholder still qualify for the 1040 page 1 deduction as self employed health insurance premiums. Are there any cites or references? I can never seem to find something that specifically mentions this. Quote Link to comment Share on other sites More sharing options...
Abby Normal Posted February 24, 2016 Report Share Posted February 24, 2016 I don't have any cites, but I've always heard at seminars that the answer is no. Has to be paid by corp and added to W2. Quote Link to comment Share on other sites More sharing options...
Randall Posted February 24, 2016 Author Report Share Posted February 24, 2016 3 minutes ago, Abby Normal said: I don't have any cites, but I've always heard at seminars that the answer is no. Has to be paid by corp and added to W2. This is what I was thinking too. Quote Link to comment Share on other sites More sharing options...
Jack from Ohio Posted February 25, 2016 Report Share Posted February 25, 2016 If his only income is from the S-Corp reported on K-1, is he not self employed? Quote Link to comment Share on other sites More sharing options...
michaelmars Posted February 25, 2016 Report Share Posted February 25, 2016 he is not self employed because there isn't any self-employment tax paid on S corp income distributions. 1 Quote Link to comment Share on other sites More sharing options...
Lee B Posted February 25, 2016 Report Share Posted February 25, 2016 Last year about this time the IRS issued transition rules that extended some of the old rules until 6/30/15 and other parts until 12/31/15. They also said that further guidance would be forthcoming. So far no more wisdom has been has been delivered to the residents of the real world for 2016. Quote Link to comment Share on other sites More sharing options...
Randall Posted February 25, 2016 Author Report Share Posted February 25, 2016 If I recall, the extension was that the penalties would not be assessed. But I don't think that meant the treatment of the tax position was extended. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.