Question

To qualify for a HSA Deduction, an individual must meet all of the following criteria EXCEPT: 1. Be in a high-deductible health plan. 2 Use all current-year contributions to pay current-year medical expenses. 3 Not exceed maximum contribution limits. 4 Not be claimed as a dependent on someone else's return.

Answer 1

To qualify for HSA, you must meet the following requirements :-

1. You are covered under a high deductible health plan (HDHP).

2. You aren't enrolled in Medicare.

3. You can't be claimed as a dependent on someone else return.

4. Annual limits apply to HSA contribution.

This, we can see option 1, 3 & 4 is covered in the above conditions . However, option 2 is not covered.

This , correct option is 2.

To qualify for HSA deduction an individual must meet all the condition mentioned in option 1, 3 & 4 except option2 . Use all current year contribution to pay current year medical expenses.