You report the taxable amount on the “other income” line of your tax return and write “HSA” beside it. You will also have to pay an additional tax of 20 percent on the taxable portion of your distribution, which you’ll calculate on Form 8889.
Do you get a 1099 for HSA?
Health Savings Account (HSA) You will receive the IRS Form 1099-SA and IRS Form 5498-SA either by mail or electronically (based upon your elected delivery preference). These IRS tax forms are also available in the Member Website. IRS Form 1099-SA is provided for each HSA distribution you made in the current tax year.
What do I do if I don’t have a 1099-SA?
But if you did take distributions, you need to contact your HSA plan administrator (the bank or financial institution that gave you the debit card to pay for qualified medical expenses with) and get a copy of the 1099-SA. …
Why did I get a 1099 for my HSA?
The 1099-SA is used to report any distribution (withdrawal) of funds from your HSA during the prior year. You must report distributions from your HSA on IRS Form 8889.
Why did I not get a 1099-SA?
If you did not make any distributions last year, you will not receive a 1099 form. The IRS website has a sample form as a useful reference. A 1099 form can only cover one distribution type. Certain scenarios, such as distributions of excess contributions, will generate a second 1099 form for the account.
Does HSA count as income?
A health savings account (HSA) is a tax-advantaged savings account available to people enrolled in a high-deductible health plan. The money deposited into the HSA is not subject to federal income tax at the time the deposit is made. Distributions used to pay for qualified medical expenses are tax-free.
Where does HSA show on w2?
Box 12
In most cases, your HSA contribution is reported in Box 12 of your W-2 with the code W (Company Contributions to Health Savings Account).
