All expenses

For 1099 contractors & freelancers

Is health insurance tax deductible?

Yes

Yes, but not on Schedule C. Self-employed people can usually deduct health insurance premiums as an adjustment to income.

Where it goes on your return

Schedule 1 (Form 1040), using Form 7206. Not Schedule C.

The details

The self-employed health insurance deduction covers medical, dental, and qualifying long-term care premiums for you, your spouse, and dependents.

You can’t take it for any month you were eligible for an employer-subsidized plan, through your own job or your spouse’s. It’s also limited to your net self-employment profit.

If you buy a Marketplace plan with a premium tax credit, the two calculations depend on each other, so tax software or a preparer is the safest route.

Records to keep

Premium statements and Form 1095-A if you have a Marketplace plan.

Sources

General information, not tax advice. For your specific situation, check with a CPA or Enrolled Agent.