Is this item an allowable adjustment to income on the federal U.S 1040 for tax year 2022? Self-employed taxpayers who reported a net profit on schedule C for the year may be able to deduct the cost of their health insurance paid as a deduction to the adjusted gross income. The taxpayer has earned income of $77,690 and is not covered by an employer's retirement plan. The tax payer contributed $4,700 to their Roth IRA