Link: Health Insurance deduction for the self-employed for 2010

As in previous years, the self-employed may deduct their health insurance from their regular income taxes (this is on the 1040, line 29).  Unlike previous years, however, those premiums may also be deducted from the income which is used to calculate the self-employment taxes (Schedule SE).  That’s a huge additional tax break – most taxpayers, especially self-employed ones who earn less than the SS cutoff, pay more in Social Security taxes than they pay in other federal income taxes.