Q. How much can I deduct for my health insurance?

A. A self-employed person with a net profit reported on Schedule C may deduct 100 per cent of the amount paid for medical and dental insurance and qualified long-term care insurance paid for you, your spouse and your dependents on Schedule 1 Part II line 16 of Form 1040. The insurance plan must be established under your business. Medicare B premium payments qualify for this deduction paid by you.

The deduction is limited to your net profit on the Schedule C. If all or part of the health insurance amount is not allowed in this section, the balance may be deducted on Schedule A under medical expenses subject to the 7.5% percent minimum of adjusted gross income. ..

If you received a tax credit for the amount you paid for health insurance, subtract this credit from the amount you paid for health insurance. This amount is what will be allowed for your health insurance deduction.

Qualified long-term care insurance premiums may be included in this health insurance deduction up to the following amounts for 2024: