This article will assist you with entering self-employed health insurance premiums from an S corporation Schedule K-1 in the Individual module of Intuit ProConnect.
Follow these steps if self-employed health insurance premiums were reported on a W-2:
- Go to the Input Return tab.
- From the left of the screen, select Income and choose Wages, Salaries, Tips (W-2).
- Enter all W-2 information on this screen.
- From the top of the screen, select Less Common Scenarios.
- Under the Other Information section, locate the Miscellaneous Information subsection.
- Check the box labeled More than 2% shareholder in S corporation.
- From the left of the screen, select Income and choose Passthrough K-1's.
- Select S-Corp Info (1120S K-1).
- Scroll down to the Part II - Information About the Shareholder section.
- Select the appropriate W-2 in the Name or number of W-2 received by greater than 2% owner field.
- Enter all other Schedule K-1 information.
- From the top of the screen, select Lines 11-17.
- Scroll down to the Line 17 - Other Information section.
- Enter the applicable amount in the Self-employed health insurance premiums field.
The program will include Medicare wages from Form W-2, box 5 in the net income from self-employment calculation. Any excess premiums that don't qualify for a deduction on Form 1040, Schedule 1, line 16 will flow to the Schedule A as an itemized deduction.
Follow these steps if health insurance premiums were not reported on W-2:
- Go to the Input Return tab.
- From the left of the screen, select Deductions and choose Adjustments to Income.
- From the top of the screen, select Health Insurance.
- Enter the appropriate amount in Premiums not entered elsewhere (excluding long-term care).
- Under the Long-term Care Premiums subsection, enter any applicable fields.
- Scroll down to the Net Earnings (if multiple businesses) section.
- Select 1 = Schedule K-1 (1120-S) in the Form (Click on arrow to select from list) dropdown menu.
- Select the applicable activity in Activity name or number.
- Enter the Net earnings [Adjust].
- Go to the Check Return tab to view the Worksheets.
- The program will generate a worksheet to calculate the Self-Employed Health Insurance Deduction.
- The deductible amount will flow to Form 1040, line 29.
To override the SE health insurance deduction:
- Go to the Input Return tab.
- From the left of the screen, select Deductions and choose Adjustments to Income.
- From the top of the screen, select Health Insurance.
- Locate the SE Health Insurance section.
- Enter the SE health insurance deduction [Override].
