What is the correct treatment of S Corp health insurance paid for a $>2\%$ shareholder?

$$ A

Deductible by the S Corp as wages and included in Box $1$ of the shareholder$$s W$-2$

$$ B

Deductible by the S Corp as employee benefits

$$ C

Deductible by the S Corp as employee benefits ONLY IF all employees opt in to the employer sponsored health insurance plan

$$ D

Not deductible by the S Corp