Entering self-employed health insurance premiums from S corporation Schedule K-1 in ProConnect Tax

This article will assist you with entering self-employed health insurance premiums from an S corporation Schedule K-1 in the Individual return in Intuit ProConnect.

What's new for the Self-employed health insurance deduction for tax year 2023:

Starting in tax year 2023 the IRS has released Form 7206 to calculate the Self-employed health insurance deduction for the 1040. In tax years 2022 and prior, the IRS used the Self-employed health insurance deduction worksheet from the 1040 instruction booklet to calculate the allowable deduction on the 1040.

Follow these steps if self-employed health insurance premiums were reported on a W-2:

1. Go to Input Return ⮕ Income ⮕ Wages, Salaries, Tips (W-2).
2. Enter all W-2 information on this screen.
3. From the top of the screen, select Less Common Scenarios.
4. Under the Other Information section, locate the Miscellaneous Information subsection.
5. Check the box labeled More than 2% shareholder in S corporation.
6. From the left of the screen, select Income and choose Passthrough K-1's.
7. Select S-Corp Info (1120S K-1).
8. Scroll down to the  Part II - Information About the Shareholder section.
9. Select the appropriate W-2 in the Name or number of W-2 received by greater than 2% owner field.
10. Enter all other Schedule K-1 information.
11. From the top of the screen, select Lines 11-17.
12. Scroll down to the Line 17 - Other Information section.
13. Enter the applicable amount in the Self-employed health insurance premiums field.

Follow these steps if health insurance premiums were not reported on W-2 starting in tax year 2023:

1. Go to Input Return ⮕ Deductions ⮕ Adjustments to Income.
2. From the top of the screen, select Health Insurance.
3. In the SE Health Insurance (7206) section enter the appropriate amount in Premiums not entered elsewhere (excluding long-term care).
4. Under the Long-term Care Premiums subsection, enter any applicable fields.
5. Scroll down to the Form and Activity Name or Number section.
6. Select 4 = Schedule K-1 (1120-S) in the Form (Click on arrow to select from list) dropdown menu.
7. Select the applicable activity in Activity name or number.
8. Enter the Net profit of business under which plan is established [Adjust] field.
9. Go to the Check Return tab to view the Form 7206.
   • The deductible amount will flow to Form 1040.

To adjust the SE health insurance deduction starting in tax year 2023:

1. Go to Input Return ⮕ Deductions ⮕ Adjustments to Income.
2. From the top of the screen, select Health Insurance.
3. In the SE Health Insurance (7206) section scroll down to Net Earnings Adjustments.
4. Use the Net profit of business under which plan is established [Adjust] and Net profit of all business [Adjust] fields to adjust the calculations on the 7206.

Related topics

• Entering self-employed health insurance deductions in ProConnect
• How does the program calculate form 8962 with the self employed health insurance deduction?
• How do I import K-1 information into an individual return?