• Information about HSA contributions is on Pub 4012 pages E-10 through E-14; more information is in Pub 969, Health Savings Accounts and other Tax-Favored Health Plans.
    • HSA contributions can only be made if the taxpayer was covered by a high deductible health plan (HDHP). For 2024 the IRS defines a high deductible health plan as having a deductible of at least $1,600 for an individual or $3,200 for a family.
    • Taxpayers covered by Medicare are not eligible to contribute to a HSA, even if they have an open HSA account. (They can continue to take distributions from that HSA account.
  • Enter the amount contributed to an HSA by the taxpayer in the first dollar amount field on the Form 8889 - Health Savings Account page [Deductions > Adjustments > Health Savings Account]. 
  • The taxpayer may provide Form 5498-SA, which shows the amount of contributions during the tax year. If they do not have this form, the taxpayer’s word is sufficient. 
    • Contributions designated for the tax year may be made as late as the April filing deadline. 
    • Note: Any contribution in excess of the amount allowed as a deduction is subject to a 6% additional tax, assessed on Form 5329, Part VII, which makes the return out-of-scope.
  • Amounts contributed by an employer are shown on the Form W-2 as code W in box 12. Information entered in the W-2 page in TaxSlayer is not displayed on the 8889-input page, which says “We will automatically pull your employer contributions from your W-2. DO NOT enter amounts from your W-2.” 
    • The information from the W-2 page does show on line 9 of Part I of the printed Form 8889, in the PDF of the taxpayer return.
  • Note for CA returns: CA doesn’t recognize HSAs – see Health Savings Accounts in CA, page 112. TaxSlayer automatically makes the adjustment on CA Schedule CA Part I, Section C line 13.

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