I thought I had heard that the 100% SE Health Insurance deduction had been permanently extended. However, the last I can find is the original EGTRRA that I believe will sunset at the end of 2010.
Any help from my esteemed colleagues is appreciated.
Everything I have read and heard is that it is permanently extended. If anything tax related can be permanent!
Based upon current information it will remain in effect
While I appreciate the feedback, is there any kind of source that you can point me to what law extends it?
In the alternative, am I mistaken that all revenue reducing provisions (including this one) of EGTRRA sunset at the end of this year? Again, any source would be appreciated.
Thanks
Internal Revenue Code
TITLE 26 > Subtitle A > CHAPTER 1 > Subchapter B > PART VI > § 162
(l) Special rules for health insurance costs of self-employed individuals
(1) Allowance of deduction
(A) In general
In the case of an individual who is an employee within the meaning of section 401 (c)(1), there shall be allowed as a deduction under this section an amount equal to the applicable percentage of the amount paid during the taxable year for insurance which constitutes medical care for the taxpayer, his spouse, and dependents.
(B) Applicable percentage
For purposes of subparagraph (A), the applicable percentage shall be determined under the following table:
For taxable years beginning in calendar year— The applicable percentage is—
1999 through 2001 60
2002 70
2003 and thereafter 100.
Thanks for the help. I had found the code, but not whence it came. I finally found that it was not part of EGTRRA, but part of Omnibus Consolidated and Emergency Supplemental Appropriations Act for Fiscal Year 1999.
