Which of the Following Statements Is True About Health Savings

question 74

Multiple Choice

Which of the following statements is true about health savings accounts (HSAs) ?

• A)There is no restriction on the kind of health insurance taxpayers must carry in order to qualify for an HSA.
• B)Contributions to HSAs are not deductible for adjusted gross income (AGI), but are treated as an itemized deduction.
• C)Individuals taking distributions from HSAs which are not for medical expenses are subject to a 50 percent penalty.
• D)Distributions from HSAs are tax and penalty free when used for qualified medical expenses.
• E)Taxpayers may take tax and penalty free distributions from HSAs to purchase automobiles after age 65.

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Definitions:

Approximate Pka

An estimated value describing the acidity of a compound, specifically the logarithmic measure of its acid dissociation constant.

Step-By-Step Mechanism

Detailed sequence of steps and intermediate species involved in the overall course of a chemical reaction, highlighting how reactants transform into products.

Phenol

A toxic, acidic compound with a hydroxyl group (-OH) bonded directly to an aromatic hydrocarbon group.

Cyclopentanol

A cyclic alcohol with the molecular formula C5H10O, consisting of a five-membered ring with a hydroxyl group attached.