What is the name of your state? California
My husband is a sole proprietor. Can he deduct premiums paid for disability insurance? I heard that, if he deducts the premiums, then he will be taxed on disability income in the future.
However, I also heard that if you deduct premiums from let's say year 2000 - 2005, and if you become disabled in 2006, then as long as you don't deduct your premium for the year 2006, your disability income received in 2006 would not be taxable. Is this true? Thanks.
My husband is a sole proprietor. Can he deduct premiums paid for disability insurance? I heard that, if he deducts the premiums, then he will be taxed on disability income in the future.
However, I also heard that if you deduct premiums from let's say year 2000 - 2005, and if you become disabled in 2006, then as long as you don't deduct your premium for the year 2006, your disability income received in 2006 would not be taxable. Is this true? Thanks.