What do I enter for the amount of HSA distributions used for Medical Expenses?
Include HSA distributions you used for qualified medical expenses to care for yourself, your spouse, and your dependents.
Generally, qualified medical expenses for HSA purposes are unreimbursed medical expenses that could otherwise be deducted on Schedule A (Medical Expenses). See Publication 502 for more details.
Over-the-counter medicine (whether or not prescribed) and menstrual care products are also qualified medical expenses that may be paid or reimbursed from an HSA.
Amounts paid for personal protective equipment (PPE), such as masks, hand sanitizer, and sanitizing wipes, for use by you, your spouse, or any dependent to prevent the spread of COVID-19 are eligible medical expenses that may be paid or reimbursed from an HSA.
Also, the cost to diagnose COVID-19 is an eligible medical expense. This means that the cost of home testing for COVID-19 for you, your spouse, or your dependents may be paid or reimbursed from an HSA.
Don't include medical expenses that were reimbursed by insurance or other coverage. Expenses incurred before you established your HSA aren't qualified medical expenses. Also don't include the distributions of any excess contributions (or earnings from them), even if used for qualified medical expenses.
You can only treat insurance premiums as qualified medical expenses if the premiums were for:
Generally, qualified medical expenses for HSA purposes are unreimbursed medical expenses that could otherwise be deducted on Schedule A (Medical Expenses). See Publication 502 for more details.
Over-the-counter medicine (whether or not prescribed) and menstrual care products are also qualified medical expenses that may be paid or reimbursed from an HSA.
Amounts paid for personal protective equipment (PPE), such as masks, hand sanitizer, and sanitizing wipes, for use by you, your spouse, or any dependent to prevent the spread of COVID-19 are eligible medical expenses that may be paid or reimbursed from an HSA.
Also, the cost to diagnose COVID-19 is an eligible medical expense. This means that the cost of home testing for COVID-19 for you, your spouse, or your dependents may be paid or reimbursed from an HSA.
Don't include medical expenses that were reimbursed by insurance or other coverage. Expenses incurred before you established your HSA aren't qualified medical expenses. Also don't include the distributions of any excess contributions (or earnings from them), even if used for qualified medical expenses.
You can only treat insurance premiums as qualified medical expenses if the premiums were for:
- Long-Term Care (LTC) insurance
- Health care continuation coverage (ex. COBRA)
- Health care coverage while receiving unemployment compensation under federal or state law
- Medicare and other health care coverage if you were 65 or older (other than premiums for a Medicare supplemental policy, such as Medigap).
