Tax Savings Tips: February 2023
2023 Health Insurance for S Corporation Owners: An Update Here’s an update on the latest developments in 2023 health insurance for S corporation owners. As a more-than-2-percent S corporation owner, you are entitled to some good news when it comes to your health insurance. To ensure that your health insurance deductions are in order, and to avoid the $100-a-day penalties for violating the rules of the Affordable Care Act (ACA), you should take the following steps: 1. Get the cost of the health insurance on the S corporation’s books, either by making the premium payments directly or through reimbursement. 2. Ensure that the S corporation includes the health insurance premiums on the owner-employee’s W-2 form, including the additional compensation in box 1 but not in boxes 3 or 5. 3. If you are an owner-employee with more than 2 percent ownership, claim the health insuran...