What health insurance premiums can I deduct?
Most insurance premiums that you paid out of pocket are tax deductible. This includes health insurance premiums for medical care, dental care, vision, hearing, and other medical services.
Employer Insurance
If you paid premiums through your employer's plan, you can only deduct the premiums if you paid for them with after-tax dollars and your employer included the premiums as wages in Box 1 of your W-2. This is not common because most of the time employer plans are paid with pre-tax dollars. Therefore, premiums you paid through your employer are generally not tax deductible.
Self-Employment
Do not deduct self-employment health insurance premiums with your Itemized Deductions. These should be included as expenses for your business.
Form 1095-C
Form 1095-C may not show the correct amount that you paid for insurance coverage. You should double check with your plan provider to find out your insurance premiums.
Medicare A
If you are covered by Social Security or you paid Medicare tax, you are enrolled in Medicare A and the payroll tax you paid for Medicare isn't deductible.
If you aren't covered by Social Security or didn't pay Medicare tax, you can voluntarily enroll in Medicare A. In this situation, you can deduct the premiums you paid for Medicare A.
Medicare B
Medicare B is supplemental medical insurance. You can deduct the premiums you paid for Medicare B. Check the information you received from the Social Security Administration to find out your premium.
Medicare D
Medicare D is a voluntary prescription drug insurance program. You can deduct the premiums you paid for Medicare D.
What if I also have the Premium Tax Credit?
Employer Insurance
If you paid premiums through your employer's plan, you can only deduct the premiums if you paid for them with after-tax dollars and your employer included the premiums as wages in Box 1 of your W-2. This is not common because most of the time employer plans are paid with pre-tax dollars. Therefore, premiums you paid through your employer are generally not tax deductible.
Self-Employment
Do not deduct self-employment health insurance premiums with your Itemized Deductions. These should be included as expenses for your business.
Form 1095-C
Form 1095-C may not show the correct amount that you paid for insurance coverage. You should double check with your plan provider to find out your insurance premiums.
Medicare A
If you are covered by Social Security or you paid Medicare tax, you are enrolled in Medicare A and the payroll tax you paid for Medicare isn't deductible.
If you aren't covered by Social Security or didn't pay Medicare tax, you can voluntarily enroll in Medicare A. In this situation, you can deduct the premiums you paid for Medicare A.
Medicare B
Medicare B is supplemental medical insurance. You can deduct the premiums you paid for Medicare B. Check the information you received from the Social Security Administration to find out your premium.
Medicare D
Medicare D is a voluntary prescription drug insurance program. You can deduct the premiums you paid for Medicare D.
What if I also have the Premium Tax Credit?
