cancel
Showing results for 
Search instead for 
Did you mean: 
Visitor I

State Taxes - High Deductible Health Plan Contributions

Hi,

 

I'm doing my State taxes (GA) and am confused by the wording with regard to "Contributions to a High Deductible Health Plan". Where, specifically, is this figure found? Is it the "Box 2 Total contributions made in..." box on 5498-SA tax form?

 

What makes it unclear to me is that Turbo Tax says that I can "Enter up to 100% of your PREMIUM as long as..." , but the box for the number asks for "contributions".

 

Please advise whether I need the figure for my total annual premium paid, or for my total Employer/etc contributions made.

 

Thank you!

1 Comment
TurboTax Specialist

State Taxes - High Deductible Health Plan Contributions

The 5498-SA records contributions made to your HSA fund, not your HDHP insurance premium amounts.

 

Georgia allows you to deduct certain high deductible health insurance premiums if your single member health plan has a deductible of at least $1,200 and out-of-pocket of $6,050 or your family health plan has a deductible of at least $2,400 and out-of-pocket of $12,100.

 

The deduction is for after-tax insurance payments. Additionally, if you itemized your deduction on schedule A for federal purposes, you must multiply the premium amount by 7.5% to arrive at the Georgia deductible amount.

 

For example the taxpayer has $1,000 in high deductible health insurance premiums. They also have $7,000 of other medical expenses which means they have total medical expenses of $8,000. After the 7.5% limitation, the taxpayer is only allowed to deduct $2,000 of medical expenses. The $1,000 deduction must be reduced by $250 ($2,000/$8,000 x $1,000). Which means the taxpayer is allowed to deduct $750.