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-   -   Form 1099-SA - Taxable income ? (https://www.askmehelpdesk.com/showthread.php?t=789396)

  • Apr 11, 2014, 04:50 PM
    gokullu
    Form 1099-SA - Taxable income ?
    Hi,
    I am non-resident alien.
    I have received 1099-SA with following details
    Box-1 Gross distribution 900
    Box-3 Distribution Code 1
    Box-5 HSA X

    I am not sure from where these $900 comes from. My employer contributes ($1250) to my HSA and it is included in my W-2 12c-W
    Should I add this $900 in my 8889?
    Should I pay tax for this $900?


    Thanks
  • Apr 11, 2014, 06:49 PM
    AtlantaTaxExpert
    Sometime in 2013, you submitted a medical receipt to the HSA custodian and were reimbursed for that cost of $900.

    You account for that $900 reimbursement on Form 8889.
  • Apr 11, 2014, 06:53 PM
    gokullu
    Hi, I haven't submitted any such receipts for reimbursement. I always use my HSA debit card for the expenses which are not covered by my insurance.. (like co-payments) It was never reimbursemed to me. Thanks,
  • Apr 11, 2014, 07:02 PM
    AtlantaTaxExpert
    Using the HSA debit card is the same thing as submitting the medical receipt. The money spent on the HSA card is reported to the IRS as a disbursement, so you have to account for it on Form 8889.
  • Apr 11, 2014, 07:05 PM
    gokullu
    Quote:

    Originally Posted by AtlantaTaxExpert View Post
    Using the HSA debit card is the same thing as submitting the medical receipt. The money spent on the HSA card is reported to the IRS as a disbursement, so you have to account for it on Form 8889.

    Thanks for the info.
    So I should include them in 14-a and since it is not reimbursed I can add the same amount in "15-Unreimbursed qualified medical expenses" right ?
  • Apr 11, 2014, 07:21 PM
    AtlantaTaxExpert
    It WAS reimbursed. You used the HSA debit card instead of cash or a credit card to pay for valid medical costs like co-pays.
  • Apr 11, 2014, 08:03 PM
    gokullu
    Quote:

    Originally Posted by AtlantaTaxExpert View Post
    It WAS reimbursed. You used the HSA debit card instead of cash or a credit card to pay for valid medical costs like co-pays.

    That is mean I need add this 900 to my 1040 also and will it be included in my Taxable income?
  • Apr 11, 2014, 09:20 PM
    AtlantaTaxExpert
    No. If properly account for on Form 8889, it is EXEMPT from taxation.
  • Apr 11, 2014, 09:21 PM
    gokullu
    Quote:

    Originally Posted by AtlantaTaxExpert View Post
    No. If properly account for on Form 8889, it is EXEMPT from taxation.

    Thanks for the info :)
  • Apr 11, 2014, 09:24 PM
    AtlantaTaxExpert
    Glad to help!

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