S-Corp Deductions

[RayT]

Please remind me how to handle Health Care Insurance and Disability Insurance premiums for a single-shareholder S-Corp with two employees (shareholder and one other employee). I can't seem to locate the reference in the TaxBook.

I seem to recall that all employees must be covered before Health Insurance can be a deduction. The disability insurance is for the shareholder only.

Thanks for all comments.

[veritas]

Here goes

Health insurance for shareholder is added to W2 as wages. It is not subject to FICA taxes. Deduct it above the line on the 1040.

Disability insurance is added to W2 as taxable wages.