As you are aware, Health Savings Accounts provide several tax advantages. Your HSA Custodial Bank provides you with the necessary forms to complete your tax filing with the IRS. They send each account holder a Year-end Status Report, IRS Form 1099-SA and IRS Form 5498-SA. Instructions are on IRS Forms 1099 and 5498.
Forms Provided by your HSA Custodial Bank
Year-end Status Report
This form provides you with your contribution amount for that particular calendar year. You can use this to determine the amount of contribution you can deduct from your taxes if you contributed after-tax funds.
IRS Form 1099-SA
This form provides you with the distributions that were made from your Health Savings Account. You will receive a separate 1099-SA for each type of distribution you had in that tax year. The five types of distributions are normal, excess contribution removal, death, disability and prohibited transaction.
IRS Form 5498-SA
This form provides you with the contributions that you had made to your Health Savings Account in that tax year. Since accountholders have the right to make contributions to their HSA for a tax year until April 15 of the following year, this form is sent in May of the following year.
Federal Tax Filing Forms
You can use downloadable forms to report the information you need to file with the IRS (refer to “IRS Forms and Publications” on our website). The same forms are available through the Internal Revenue Service at www.irs.gov.
IRS Form 8889
Instructions for 8889
State & Local Tax Resources
The Health Savings Account legislation and tax advantages are a Federal Law. However, treatment of your state and local income tax regarding HSAs may differ. Therefore, FlexBank encourages you to review your particular state and local tax resources to obtain the appropriate information on how they handle the taxation of HSAs.