I am newly self-employed in 2024 and need to figure out the self-employed health insurance deduction. I am a sole proprietor with no other employees. I received the ACA premium credit for 11 months.
1) Do I enter my premium cost under Schedule C – Employee Benefits/Insurance Expenses AND Schedule 1 Adjustments to Income - Self-Employment Health Insurance Premium OR only on Schedule 1?
I think only under Schedule 1 otherwise I would double dip on the expense.
2) Based on actual income for 2024, I received too much credit. The Tax Software is calculating a health premium tax credit repayment of about $1000 total. This makes sense.
3) On Schedule 1, I have an amount of ~ $4000 for the SEHID. My year total premiums before premium credit was about $13000. Since I am having to repay $1000 of the credit, I was surprised. At the end of the day, I expect the SEHID can equal but can’t exceed the unsubsidized premium amount, correct?
Thanks.
joel m-d
I am newly self-employed in 2024 and need to figure out the self-employed health insurance deduction. I am a sole proprietor with no other employees. I received the ACA premium credit for 11 months. 1) Do I enter my premium cost under Schedule C – Employee Benefits/Insurance Expenses AND Schedule 1 Adjustments to Income - Self-Employment Health Insurance Premium OR only on Schedule 1? I think only under Schedule 1 otherwise I would double dip on the expense. 2) Based on actual income for 2024, I received too much credit. The Tax Software is calculating a health premium tax credit repayment of about $1000 total. This makes sense. 3) On Schedule 1, I have an amount of ~ $4000 for the SEHID. My year total premiums before premium credit was about $13000. Since I am having to repay $1000 of the credit, I was surprised. At the end of the day, I expect the SEHID can equal but can’t exceed the unsubsidized premium amount, correct? Thanks.
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