HSA Education Frequently Asked Questions

A husband and wife are covered under a qualified HDHP with family coverage with a $2200 deductible. They file taxes separately. Each has an HSA and contributes 1/2 of the allowed maximum. The husband meets the full $2200 deductible with medical expenses. Would distributions from both HSAs to cover the qualified expenses for the husband be qualified distributions?

An account beneficiary receives an HSA distribution as the result of a mistake of fact due to reasonable cause (e.g., the account beneficiary reasonably, but mistakenly, believed that an expense was a qualified medical expense and was reimbursed for that expense from the HSA). The account beneficiary then repays the mistaken distribution to the HSA. Is the mistaken distribution included in gross income and subject to the 10 percent additional tax or subject to the excise tax on excess contributions?

Are distributions from an HSA for long-term care services qualified medical expenses which are excluded from income?

Are health insurance premiums qualified medical expenses?

Does a preventive care service or screening that also includes the treatment of a related condition during that procedure come within the safe harbor for preventive care in Notice 2004-23?

How are distributions from an HSA taxed?

If a retiree who is enrolled in Medicare receives a distribution from an HSA to reimburse the retiree's Medicare premiums, is the reimbursement a qualified medical expense?

If an account beneficiary's spouse or dependents are covered under a non-HDHP, are distributions from an HSA to pay their qualified medical expenses excluded from the account beneficiary's gross income?

If both spouses have HSAs and one spouse uses distributions from his or her HSA to pay or reimburse the section 213(d) qualified medical expenses of the other spouse, are the distributions excluded from the account beneficiary’s gross income under section 223(f)?

May a retiree who is age 65 or older receive tax-free distributions from an HSA to pay the retiree's contribution to an employer's self-insured retiree health coverage?

To what extent do drugs or medications come within the safe-harbor for preventive care services under section 223(c)(2)(C)?

What are the "qualified medical expenses" that are eligible for tax-free distributions?

When is an individual permitted to receive distributions from an HSA?

When must a distribution from an HSA be taken to pay or reimburse, on a tax-free basis, qualified medical expenses incurred in the current year?