Health savings account and filing taxes?
by admin ~ April 26th, 2006 . Filed under: United States .
spoiledrotten asked:
I’m filing my taxes we have a HSA which is not taxable but when i so my taxes it shows up as extra income but its not so how do i fix it? I’m using tax-act and it isn’t helping at all…last year it didn’t show as other income and this year it is why? Please help…
Juliana Rade
I’m filing my taxes we have a HSA which is not taxable but when i so my taxes it shows up as extra income but its not so how do i fix it? I’m using tax-act and it isn’t helping at all…last year it didn’t show as other income and this year it is why? Please help…
Juliana Rade
April 26th, 2006 at 1:11 pm
Switch over to the free online TurboTax.
Many complaints about that taxact on this site
April 27th, 2006 at 12:44 pm
When all else fails, if you are sure that the software is wrong, stop using the software and either (a) use other software, (b) use paper forms (download from) and mail them.
In California and perhaps other states, an HSA is subject to state tax even if not to federal tax.
April 27th, 2006 at 1:45 pm
You didn’t by any chance try to use your 5498-SA to figure your taxes, did you? That form isn’t to be used and is often misleading since it lists 1/1 to 4/15 contribtutions you made last year on your 2007 taxes.
If you put money in the HSA, it’s part I of the 8889. If it’s through work, you put the pre-tax amount on line 9. If you wrote after-tax checks to increase the balance, that’s line 2 and line 13.
If you took money out of the HSA, it’s part II of the 8889. If you spent the money on qualified medical expenses, it’s not added to income. So line 16 should be 0.