Drake Tax - 1040: Public Safety Officer (PSO) Insurance Premiums

Article #: 10219

Last Updated: October 14, 2025

 

Tags: Drake Tax

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To exclude retired public safety officers' health insurance premiums from income on Form 1040, on the 1099 screen, click the Special Tax Treatments tab. In the Public Safety Officers section, enter accident insurance, health insurance, or long term care insurance for retired public service officers in the Insurance Premiums box. Up to $3,000 can be excluded from income. Once an entry is made in this field, the box PSO is marked on Form 1040, line 5c.

Tip  Public safety officers include policemen and firemen.

The tax literal PSO is displayed next to line 5b on Form 1040.

If an entry is made in this field, the tax literal PSO is displayed next to the following line on Form 1040:

  • line 4d in Drake19

  • line 4b in Drake18

  • line 16b in Drake17 and prior