Discussion:Long term care premiums

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Discussion Forum Index --> Tax Questions --> Long term care premiums

LJACPA (talk\|edits) said:	24 January 2006
Here's my question... S corp shareholder (50%) purchases a LTC insurance policy for him and his wife (the other 50%) and has the S corp pay the premium (paid the entire premium for the policy in one year). Do I have to do something w this for W-2/payroll purposes or can it just be a Distribution to them?

Captcook (talk\|edits) said:	24 January 2006
Look at the discussion below: S-E health insurance deduction for S corp SH.

Riley2 (talk\|edits) said:	25 January 2006
The amount of the premium should be added to box 1 of his W-2 Form. He will be able to claim a deduction for at least a portion of those premiums on page 1 of his 1040 [subject to the annual limits in Sec. 213(d)(10)].

LJACPA (talk\|edits) said:	8 March 2006
Revisiting this earlier discussion, does this mean that the premiums (included in W-2) would be deductible as SEHI deduction but subject to the same limits that apply if deducted on Sch A (e.g. age 51-60 = 1,020, etc.)?

JR1 (talk\|edits) said:	8 March 2006
I've never understood why you can't just book this as a distribution. You get the exact same result...then deduct on 1040 as usual. . .kind of late to be messing with W2's.