You may have missed this double tax benefit available to sole proprietors. 

Benefit #1:  Sole proprietors can deduct the full premium paid for Long-Term Care insurance they provide their employees.  With respect to their own coverage, the sole proprietor can deduct 100% of the eligible long-term care premiums.  Unlike the deduction of the eligible long-term care premium  as a personal medical expense, there is no 7.5% of AGI threshold requirement (essentially, above the line).

Benefit #2: Additionally, distributions at claim time may be tax-free.

Want to know more, call me at 901-409-1448 or send email to gpace@financialguide.com to arrange a time to discuss.

Thanks.


Disclaimer:  This information provided is not written or intended as tax or legal advice and may not be relied on for purposes of avoiding any federal tax penalties.  MassMutual, its employees and representatives are not authorized to give tax or legal advice.  Individuals are encouraged to seek advice from their own tax or legal counsel.