Excess HSA contributions

Excess contributions are subject to tax and should be included in the individual's gross income. In addition, an excise tax of 6% for each taxable year is imposed on the smaller of the amount of excess contributions or the value of the HSA at December 31,
2023
. The excess contribution calculates and is reported on Form 5329, Additional Taxes on Qualified Plans and Other Tax-Favored Accounts.
The value of the HSA should be reported in the
5329
screen in the Taxes folder or the
5498SA
screen in the Health Care folder to accurately calculate the excise tax.

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