Shortcut Navigation:

Question for the Money Doctors

Question submitted on Mar 18, 2011.

Question

According to my husbands employer, we have taxable income of $3,421 due to medical benefits for a child under the age of 27. Do i enter this in column I or II of WI sched I? also, does this get entered anywhere else on my tax forms?

Answer

It sounds like you are referring to your state (WI) income tax return.  Feel free to submit additional information to clarify. Since Wisconsin may treat differently the value of employer-provided health insurance benefits (versus federal tax treatment), any difference should be shown on line 5 of Schedule I.  It appears that the federal amount should be shown in Column I (line 5), the WI amount in Column II, and the difference ($3,421?) should be shown in Column III. 


For additional information visit http://www.360financialliteracy.org/