Entering Health Insurance Premiums (W-2) for more than 2% Shareholder in an S-Corporation.

Health Insurance Premiums are normally reported in each of the following areas:

  • Somewhere on Form 1120S   
  • To the shareholder on Schedule K-1 Box 17 code V
  • Form W-2, box 14

Reporting Health Insurance Premiums on Form 1120S (Choose one method):

  • To report on Form 1120S Line 7, Compensation of Officers:  
    1. Go to Screen 2, Officer Information.  
    2. For each officer, include the premiums in Officer Compensation.  
  • To report on Form 1120S Line 19, Other deductions:  
    1. Go to Screen 15, Deductions.   
    2. Scroll to the Deductions section Enter premiums in Insurance.  
  • To report on Form 1120S Schedule K Line 12a, Other deductions: 
    1. Go to Screen 20, Income and Deductions. 
    2. Scroll to the Deductions section.  
    3. Go to the Other deductions (Ctrl+E) field and press Ctrl+E.  
    4. Select a K-1 Code of S=Other deductions.  
    5. Enter a Description of "Shareholder Health Insurance".   
    6. Enter the premiums.

Reporting Health Insurance Premiums on Schedule K-1:

  1. Go to Screen 36, Schedule K-1 Miscellaneous.
  2. In the left navigation column, Select the Shareholder.
  3. Enter premiums in Health Insurance Premium reported on W-2 for more than 2% Shareholder (code 7)  Note:  Use this field even when the shareholder did not receive form W-2 from the S-corporation.

    This appears on Schedule K-1, box 17 as Supplemental Information.

    Note:  In 2013, changed to code V.

Reporting Form W-2, Box 14:  See Entering W-2, Box 14 in the Individual Module

Note: Lacerte does not generate Form W-2.