If there is an S corporation that is paying under a corporate health insurance plan the equivalent of the health insurance for a single person for all their employees, I was wondering about the specific tax treatment as to its 100% shareholder. The S corporation is appropriately treating the amount paid for the 100% shareholder as wages on the shareholder/employee's W-2; however, the 100% shareholder/employee is also paying additional premiums on a post tax basis for the difference between family coverage and a single person's coverage.
My question is whether the 100% shareholder employee can then deduct the post tax health insurance premiums paid (i.e. the difference between the premiums charged for a family and a single person) above the line on Page 1 of the Form 1040.
Thanks.