Can I deduct the cost of my supplemental medicare insurance as a business expense if I am self-employed?
As long as you include the purchase of supplemental insurance as part of your business plan for your sole proprietorship, the expense qualifies as self-employed health insurance and is deducted from Gross Income. The deduction can not exceed the net profit from your business. See the instructions for Form 1040 as well as IRS Pub 535, Business Expenses. http://www.irs.gov/publications/index.html Premiums you pay for Medicare Parts A, B, C and D are not deductible as business expenses. They are only deductible on Schedule A.
