1040-US: Certain lines on Form 8853 are skipped when there are employer contributions to an Archer MSA

Alerts and notices

Question

Why are certain lines skipped on Form 8853, Page 1, when there are employer contributions to an Archer MSA entered in the Box 12 field in Screen W2?

Answer

In general, if an employer made contributions to an Archer MSA, the client is not entitled to a deduction. In this circumstance, only Form 8853, lines 1 and 2 calculates. Form 8853, lines 3 and 4 are skipped and 0 (zero) is entered on line 5. Refer to Form 8853 instructions for this example and other special reporting requirements for taxpayer and spouse HDHP coverage under How To Complete Part I.

Related topic: Medical and health savings accounts FAQs (1040)