New info sheet explains easy-to-overlook tax deduction

For the 2010 tax year, some individuals — including self-employed farmers — are able to deduct health insurance premiums from net income subject to the self-employment tax. To answer questions that are cropping up about the deduction, the national Rural Tax Education project has issued an online fact sheet (PDF).

The information comes from two Cooperative Extension educators, N.C. State University’s Guido van der Hoeven  and Cornell University’s Joseph A. Bennett. They say the deduction is easy to miss, so they provide instructions as well as an example illustrating how to report and benefit from the deduction.

Cooperative Extension is an outreach partnership of the nation’ land-grant universities, the U.S. Department of Agriculture and county governments. To find a Cooperative Extension center in your area, see http://www.csrees.usda.gov/Extension/.

— Dee Shore, 919.513.3117 or dee_shore@ncsu.edu —

Media contact: Guido van der Hoeven, gvanderh@ncsu.edu or 919-515-9071