I have a child who is over age 23, how does Tax$ave Program 2010 apply?
Chapter 375, P.L. 2005, permits continued SHBP medical plan coverage for certain children until their 30th birthday. However, contributions or premiums that an employee pays for coverage of an over-age child cannot be made on a pre-tax basis under the Tax$ave Premium Option Plan, nor can an out-of-pocket medical expense incurred by the over age child be reimbursed under the Unreimbursed Medical Flexible Spending Account, unless the child qualifies as a “tax dependent” of the employee for federal tax filing purposes under Internal Revenue Code Section 152. See IRS Tax Topic 354 Dependents for additional information on the requirements for establishing dependent status for federal tax purposes. For more information about continued coverage for children age 23 to 30, see Fact Sheet #74, SHBP Coverage of Children to Age 30 Under Chapter 375.
