Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

2% shareholder health care deduction on 1120s

johnefarrar
Level 1

Is the 2% healthcare premium deducted twice on the 1120S? Once as wages and also as an insurance deduction? How is it reported on the 1120s?

0 Cheers

This discussion has been locked. No new contributions can be made. You may start a new discussion here

1 Best Answer

Accepted Solutions
itonewbie
Level 15

No, it is only deductible once as wages.  The line for insurance deduction is only for employees and shareholder-employees who are not 2% shareholders.

---------------------------------------------------------------------------------
Still an AllStar

View solution in original post

4 Comments 4
itonewbie
Level 15

No, it is only deductible once as wages.  The line for insurance deduction is only for employees and shareholder-employees who are not 2% shareholders.

---------------------------------------------------------------------------------
Still an AllStar
johnefarrar
Level 1

Thank you.

0 Cheers
itonewbie
Level 15

NP, @johnefarrar!

---------------------------------------------------------------------------------
Still an AllStar
ahanchin
Level 1

Hi, so I entered the 1095-A enrollment premiums minus the monthly advance payment on the W-2 and deducted that amount on the 1120-S as wages for the shareholder (or a close amount as she gave me a different number to put on the W-2 before we received the 1095-A).

Now my question is what to do with the 1095-A, do I click the box to link it to the S-corp on the personal return, does it make an adjustment on the premium tax credit or do I have to make some sort of manual calculation?  She forgot to include her husband's separate 1095-A on her W-2 so should I go ahead and link it to the 1120-S on the 1140?

0 Cheers