Hsa

[Bird Legs]

Client has a W-2 with box 12 code W and $1,000. in it. Am assuming that this is
an employer funded HSA account. My program carries this $1000. to line 21 form 1040
and also to line 9, form 8889.
I thought contributions to an HSA were not taxable. Cany anyone help me with this?
Thanks.

[Bees Knees]

Sounds like you are not checking something on the program correctly. Employer contributions to HSAs are not taxable, unless they exceed the contribution limit, or the employee does not have a high deductible health plan. Make sure you have entered all the data correctly on the worksheets in your program for Form 8889.

[Redneck]

Hsa

If there is a 1099SA enter all the info on the worksheet and also the worksheet for the 8889.
You have to tell the software that the client has a deductable and if the draw was used for medical expenses. If no 1099SA was issued then go to the wks for 8889 and just tell it what the deductable was and that should work.