IRS Notice 2008-59

The Internal Revenue Service (IRS) released IRS Notice 2008-59 on June 25, 2008. The notice provide guidance on HSAs in a number of areas.  These include:

• Who is considered an eligible individual?
• What plans qualify as high deductible health plans?
• What are the limits for contributions?
• What types of expenses can be considered qualified medical expenses?
• What is a prohibited transaction?
• When is an HSA deemed established?
• How are HSA administration and maintenance fees treated?

The notice is provided in forty-two question and answer format. The following will review those aspects of HSA not covered in other guidance.

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