University Human Resources
Health Savings Account Tax Resources and Information
As part of the federal income tax return, HSA participants will need to include IRS Form 8889: Health Savings Account to report HSA contributions ( those made by the employee and IU) and any distributions from the Health Savings Account (HSA). This form must be filed with Form 1040 or Form 1040 NR.
Information needed to complete the HSA section of the 2013 tax return:
- 2013 Form W-2 from IU (available on OneStart)
- Form 1099-SA (Distributions) (provided by Chase in January)*
- Form 5498-SA or a listing of 2013 contributions**
- Form 8889: Health Savings Account (PDF)
- Instructions for completing Form 8889 (PDF)
- The receipts/records of qualified health expenses (for reference and recordkeeping)
* Electronic versions of Form 1099-SA (Distributions) are available on the web for everyone. If an account holder opted for electronic tax forms, they will not receive the form in the mail. Otherwise, the Form 1099-SA will be sent to the mailing address on file with Chase Bank around mid- to late January.
** The Form 5498-SA (contributions) will not be available until late May 2014 in order to capture any contributions made in 2014 for the 2013 tax year. However, contribution details can be viewed on your Year-End statement or on the www.chasehsa.com website under the Transactions tab, within the YTD Tax Year Summary link. This includes all contributions made during calendar year 2013 (both for 2013 and for 2012) and contributions made in 2014 designated for 2013.
Access the ‘Instructions for Form 8889’ for directions on how to complete your income tax Form 8889.
Participants should keep all receipts and records for qualified health expenses paid with HSA fund for their own records. These do not need to be sent to Chase or with the tax return.
For additional information on qualified health expenses, refer to IRS Publication 502 “Medical and Dental Expenses” or IRS Publication 969 “Health Savings Accounts and Other Tax-Favored Health Plans” at www.irs.gov.
Common questions about the forms
Q. What information do I put in line 2 of Form 8889?
A. Line 2 is where you record any contributions made to your HSA account outside of payroll contributions. Example: transfer funds from a personal bank account to your HSA.
Q. What information do I put in line 9 of Form 8889?
A. Line 9 is where you record any contributions made to your HSA account via payroll contributions. This information can be found on your W-2, box 12, code W. This figure will include both the amount that IU contributed to your HSA and the amount you contributed to your HSA through payroll deductions.
Q. Where can I find the HSA contribution information?
A. Box 12, Code W. This code, labeled Employer Contributions (used in line 9 of Form 8889) includes both IU’s contribution to your account as well as your own contributions through payroll deductions.
Q. What is included in Box 1?
A. Box 1 of the 1099-SA reports the total distributions made from your HSA in 2013. Distributions include any purchase or withdrawal using HSA funds. It also includes cash withdrawals at ATMs. If any excess contributions and associated earnings were distributed, they are also included.
Q. What is the distribution code?
A. The distribution code represents the particular type of distribution made from the HSA. The most common distribution code is “1”. This is a normal distribution. A normal distribution means that the funds were withdrawn with the debit card, checks or on-line bill payment. Other codes are for specific types of distributions. These would include a distribution for an excess contribution or a distribution to a beneficiary in the event of a death or disability. A complete list is in the bottom half of your Form 1099-SA.
Q. What is included in Box 2?
A. Box 2 of Form 1099-SA reports any earnings on excess contributions. This box includes any excess contributions you withdrew from your account, as well as any interest or investment earnings that are attributable to the funds that were withdrawn.
- Tax Implications section of the Q&As
- Recordkeeping section of the Q&As
- Chase secure HSA website: www.chasehsa.com
- Chase Member Services: 1-866-566-7101
- IRS website: www.irs.gov
- IRS help line: 1-800-Tax-1040
For advice about tax matters please consult a personal tax advisor.
The IRS help line is 800-Tax-1040 (1-800-829-1040).