Article: 50540
Overview
If you are self-employed and paid for your own health insurance coverage during the tax year, you may be eligible to claim the Missouri Self-Employed Health Insurance Tax Credit. This credit is designed to provide state-level relief to qualifying self-employed individuals who do not receive health insurance through an employer or spouse.
To claim the credit, you must complete the Self-Employed Health Insurance Tax Credit form (MO-SHC) as part of your MO-1040 return.
Who Is Eligible for the Credit?
You may qualify for this credit if:
- You were self-employed for all or part of the tax year.
- You paid out-of-pocket premiums for a qualifying health insurance plan (including dental and long-term care).
- You were not eligible to participate in any employer-sponsored health plan (including your spouse’s).
- The premiums were not fully deducted or reimbursed elsewhere, including on your federal return.
Note: This credit may be limited by your Missouri tax liability and cannot exceed your state income tax owed.
Tips for Filing
- Be sure to retain documentation on premium payments (e.g., policy statements, payment records).
- If your premium costs were reimbursed in any way (e.g., through an HRA or PTC on a federal return), you may need to reduce the amount claimed.
- This credit is not refundable it only reduces your Missouri tax liability.
How to Report
- Navigate to the State Taxes section on the left-hand side of the screen.
- Click the link: I’d like to see the forms I’ve filled out or search for a form.
- In the dropdown menu, select Missouri.
- Click on the Credits tab.
- Select Self-Employed Health Insurance Tax Credit to open the screen.
- Enter all applicable information.
- After entering all required data, scroll to the bottom of the form and click Save.
Additional Resources
For more information, see:
2024 Missouri MO-SHC – Self-Employed Health Insurance Tax Credit (PDF)