Discussion:MFS - self employed health insurance- spouse

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Revision as of 02:31, 12 April 2009
Jake (Talk | contribs)
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Jake (Talk | contribs)
(Found this in Pu)
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{{ForumNewPost|UserID=Jake|Date=12 April 2009|Text=Taxpayers usually file MFS as this saves on Ohio income taxes. Proseries does not want to allow me to takes wife's insurance (long term care) on self-employed husband's return saying you can't to this if MFS. Is this right?}} {{ForumNewPost|UserID=Jake|Date=12 April 2009|Text=Taxpayers usually file MFS as this saves on Ohio income taxes. Proseries does not want to allow me to takes wife's insurance (long term care) on self-employed husband's return saying you can't to this if MFS. Is this right?}}
 +
 +{{ForumReplyPost|UserID=Jake|Date=12 April 2009|Text=Found this in Pub 502- seems to say that expenses are divided in two even if all are for one spouse if out of a joint account, or in community property states, out of community funds. That may be the law, but it seems ridiculous to make spouses have separate checking accounts.
 +
 +''Separate returns. If you and your spouse live in a noncommunity property state and file separate returns, each of you can include only the medical expenses each actually paid. Any medical expenses paid out of a joint checking account in which you and your spouse have the same interest are considered to have been paid equally by each of you, unless you can show otherwise.
 +
 +Community property states. If you and your spouse live in a community property state and file separate returns, any medical expenses paid out of community funds are divided equally. Each of you should include half the expenses. If medical expenses are paid out of the separate funds of one spouse, only the spouse who paid the medical expenses can include them. If you live in a community property state, are married, and file a separate return, see Publication 555, Community Property.''
 +
 +Under discussion on self-employed deduction -
 +
 +Married persons filing separate returns. Your spouse is not treated as a qualifying family member if your filing status is married filing separately and either (1) or (2) below applies.
 +
 + 1. Your spouse was an eligible TAA recipient, alternative TAA recipient, or PBGC pension recipient during the year.
 + 2. All of the following apply:
 + 1. You lived apart from your spouse during the last 6 months of the year.
 + 2. A qualifying family member (other than your spouse) lived in your home for more than half the year.
 + 3. You provided over half the cost of keeping up your home.
 +
 +I think the PBGC is Pension Benefit Guarantee Corp. I do not know what TAA is.
 +
 +Anyway, it would appear to say that as long as the self employed spouse paid for the medical insurance premium out of that self employed person's separate bank account it would be deductible.
 +
 + }}

Current revision

Discussion Forum Index --> Advanced Tax Questions --> MFS - self employed health insurance- spouse
Discussion Forum Index --> Tax Questions --> MFS - self employed health insurance- spouse

Jake (talk|edits) said:

12 April 2009
Taxpayers usually file MFS as this saves on Ohio income taxes. Proseries does not want to allow me to takes wife's insurance (long term care) on self-employed husband's return saying you can't to this if MFS. Is this right?

Jake (talk|edits) said:

12 April 2009
Found this in Pub 502- seems to say that expenses are divided in two even if all are for one spouse if out of a joint account, or in community property states, out of community funds. That may be the law, but it seems ridiculous to make spouses have separate checking accounts.

Separate returns. If you and your spouse live in a noncommunity property state and file separate returns, each of you can include only the medical expenses each actually paid. Any medical expenses paid out of a joint checking account in which you and your spouse have the same interest are considered to have been paid equally by each of you, unless you can show otherwise.

Community property states. If you and your spouse live in a community property state and file separate returns, any medical expenses paid out of community funds are divided equally. Each of you should include half the expenses. If medical expenses are paid out of the separate funds of one spouse, only the spouse who paid the medical expenses can include them. If you live in a community property state, are married, and file a separate return, see Publication 555, Community Property.

Under discussion on self-employed deduction -

Married persons filing separate returns. Your spouse is not treated as a qualifying family member if your filing status is married filing separately and either (1) or (2) below applies. 

  1.      Your spouse was an eligible TAA recipient, alternative TAA recipient, or PBGC pension recipient during the year.
  2.      All of the following apply:
        1.  You lived apart from your spouse during the last 6 months of the year.
        2.  A qualifying family member (other than your spouse) lived in your home for more than half the year.
        3.  You provided over half the cost of keeping up your home.

I think the PBGC is Pension Benefit Guarantee Corp. I do not know what TAA is.

Anyway, it would appear to say that as long as the self employed spouse paid for the medical insurance premium out of that self employed person's separate bank account it would be deductible.

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