The IRS pointed out that a person with an FSA is not eligible for an HSA, and that HSA ineligibility will continue for the entire plan year even if the balance is exhausted during the plan year. But, IRS noted that an FSA could be designed to allow the participant to elect any carryover amount could be used as limited purpose, post deductible, or both, thus making the FSA compatible with the HSA. The IRS noted that the carryover amount could not be transferred into any other non-health FSA, including any carryover amounts. In addition, a cafeteria plan can design the health FSA so that an election for high-deductible health plan coverage forces the participant into the FSA. IRS also noted that a person can decline or waive an FSA carryover amount to become HSA-eligible. C.C.A. 201413005 (Feb. 12, 2014).