Tax Form 7206 Self-Employed Health Insurance Deduction

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clay
clay Member ✭✭
edited June 1 in Installing and Updating

Add U.S. Tax Form 7206 Self-Employed Health Insurance Deduction in Tax Related Category.

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  • NotACPA
    NotACPA SuperUser ✭✭✭✭✭
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    Exactly what lines from Form 7206 do you expect Q to be able to capture?

    Q user since February, 1990. DOS Version 4
    Now running Quicken Windows Subscription, Business & Personal
    Retired "Certified Information Systems Auditor" & Bank Audit VP

  • jtemplin
    jtemplin Member ✭✭✭✭
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    Tax prep volunteer for AARP here, plus I've taken the SEHI deduction (technically an adjustment to income since it's "above the line") myself for several years now.

    I don't understand this ask. The amount you get to deduct for SEHI is the result of a computation:

    1. It can't exceed your total self-employed income (most often reported on Schedule C's).
    2. You can't double dip on any already deductible Self-Employment tax, so that amount reduces the deduction you can take.

    Given that many folks don't know what their total self-employed income will be, or what their SE tax will ultimately be (both especially for gig workers who don't have consistent, regular income), I don't see how you'd be able to make this a category since you don't know how much of those medical expenses will ultimately qualify for SEHI.

    What I do: categorize your medical expenses in Quicken. Run a report at tax time to get your total medical expenses. Plug those numbers at tax time into your software. It will compute your SEHI deduction. Any decent tax software will automatically send any excess medical expenses above your allowable SEHI to Schedule A.

    The software I use (I won't give it a free ad here) collects all my 1099-MISC income, helps me prepare my Schedule C's, then asks me for my total medical expenses. It does the SEHI/Schedule A computations.

  • jtemplin
    jtemplin Member ✭✭✭✭
    edited June 1
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    [Removed - Duplicate Post]