TaxGuyBill
Level 15

Interesting.  I think you are right, the worksheet in Publication 535 is wrong.

The developers for ProSeries are clueless, and don't use Code, Regs or logic.  The only rely on the Publications.  So if the Publication is wrong or unclear, the Developers will always say is it "working as designed".

 

But let's take a step back.  Why is the insurance "established" under the wife's business rather than the husband's business?  It wouldn't be an issue if it was under the husband.