Thursday, December 16, 2010

taxes and insurance question can a portion of health life dental and disabillity insurance be deducted on tax?

just need to know if theres a tax benefit that allows you to deduct any of the money we spend for health insurance
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If you're paying for your insurance through a plan at work you need to check if the premiums are being paid with "pre-tax" dollars. If they are being paid with pre-tax dollars you will NOT be able to deduct them on a Schedule A. It's because you've already seen the tax benefit of paying for them with pre-tax dollars. Paying with pre-tax dollars is very common. And really, it's the better deal, so be happy. This, along with the 7.5% AGI requirement on the Schedule A, prevents many people from being able to deduct insurance premiums on their tax return.
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