Retired public Service Safety Officer

Question 1

Which federal program provides tax benefits for certain public safety officers?

Answer 1

The Public Safety Officers’ Benefits (PSOB) program.

Question 2

What is the maximum tax-free benefit amount for public safety officers who die in the line of duty?

Answer 2

$343,000 (as of 2023).

Question 3

Multiple Choice: Which of the following could reduce taxable income for retired public service safety officers? A) Health insurance premiums B) Investment income C) Rental income

Answer 3

A) Health insurance premiums

Question 4

True or False: Retired public service safety officers can deduct unreimbursed medical expenses on their federal tax returns.

Answer 4

True

Question 5

What tax benefit can retired public safety officers receive for long-term care insurance premiums?

Answer 5

Public Safety officers have $3000 to spend tax free on medical which can include health and long term care premiums. Can use their $3000 tax free benefit on self, spouse or dependent.

Question 6

Retired Public Safety Officers can take up to
$ ________ off taxable income for medical expenses including insurance, long term care insurance for self and dependents

Answer 6

$3000

Question 7

Retired Firefighter Jones receives Medicare.
How do you utilize the $3000 credit that Retired Public Safety Officers are afforded?

Answer 7

When entering his 1099-R reduce the taxable amount by Medicare expense and other medical expenses for himself, spouse and dependents up to $ 3000.
Report on “1099-R Nontaxable Income” reductions to taxable amounts due to
1) QCD’s
2) HSA’s
3) Retired Public Safety Officer

Form 1099-R Nontaxable Distributions is located in the Federal income section:
IRA/Pension Distrutions