Affordable Tax Service
OBAMACARE AND YOU !!!!!
If you have health insurance from an employee provided healthcare plan (that meets the Bronze plan requirements, most do) or receive your health insurance via Medicaid, Medicare, through the Veterans Administration (retired military) and this has been the case for the entire year then you are OK.
If you obtained Health insurance via one of the exchanges then you will need to wait until you receive your form 1095A before you can file your return. If you qualify for one of the 9 exemptions you will need to report this to the healthcare exchange so they can validate/verify your exemption and reprt it to you on form 1095A.
If your household circumstances changed during the year, such as divorce, death of a household member, added or removed a dependednt then this will also effect your possible subsidy or penalty. If this sounds confusing then join the club.
There were a few issues with 1095-A forms this year. If you haven’t gotten your 1095-A or got the wrong one, see the updates below.
UPDATE: In some states the 1095-A won’t be sent until the end of February. If you didn’t receive your 1095-A yet, you can check for it online by logging into your Marketplace account using these instructions . Keep in mind, it won’t appear online until after it has been filed by your state’s marketplace.
UPDATE 2/21/15: An estimated 800,000 people received the wrong 1095-A form . If you got a 1095-A form with incorrect data, or need to do any calculations for related tax forms, you can use the Second Lowest Cost Silver Plan tax tool to help calculate subsidy amounts correctly. You can also use this tool if you didn’t get a 1095, but need to calculate the form anyway. That being said, those who got incorrect forms are being asked to wait to file until the correct form is filed. If you already filed your form, don’t worry too much. Subsidy amounts didn’t change much between 2014 and 2015, so in most cases the calculations shouldn’t be off by much.
Additional Info from IRS:
Questions and Answers about Health Care Information Forms for Individuals (Forms 1095-A, 1095-B, and 1095-C)
Because of the health care law, you might receive some new forms this winter providing you with information about the health coverage you had or were offered in 2015. The information below is intended to help individuals understand these new forms, including who should expect to receive them and what to do with them.
1. Will I receive any new health care tax forms in 2016 to help me complete my tax return?
Starting early in 2016, you may receive one or more forms providing information about the health care coverage that you had or were offered during the previous year. Much like Form W-2 and Form 1099, which include information about the income you received, these new health care forms provide information that you may need when you file your individual income tax return. Also like Forms W-2 and 1099, these new forms will be provided to the IRS by the entity that provides the form to you.
The new forms are:
2. When will I receive these health care tax forms?
The deadline for the Marketplace to provide Form 1095-A is February 1,
2016. The deadline for insurers, other coverage providers and
certain employers to provide Forms 1095-B and 1095-C has been extended to
March 31, 2016. Individual taxpayers will generally not be affected by
this extension and should file their returns as they normally
3. Must I wait to file until I receive these forms?
If you are expecting to receive a Form 1095-A, you should wait to file your 2015 income tax return until you receive that form. However, it is not necessary to wait for Forms 1095-B or 1095-C in order to file.
Some taxpayers may not receive a Form 1095-B or Form 1095-C by the time they are ready to file their 2015 tax return. While the information on these forms may assist in preparing a return, they are not required. Individual taxpayers will generally not be affected by this extension and should file their returns as they normally would.
Like last year, taxpayers can prepare and file their returns using other information about their health insurance. You should not attach any of these forms to your tax return.
4. What are the health care tax forms that I might receive and how do I use them?
5. How will I receive these forms?
The Marketplace, health coverage providers and applicable large employers will mail (or hand deliver) these forms to you or provide them electronically to you, if you have consented to electronic delivery.
6. My employer or health coverage provider has suggested that I opt to receive these forms electronically rather than on paper. Are they allowed to ask me that?
Yes. Employers and health coverage providers may ask for your consent to receive the forms electronically. This is entirely acceptable and may be more convenient for you. Electronic forms provide the same information that is provided in the paper forms.
7. Will I get at least one form?
Maybe. If you were enrolled in health coverage for 2015, you should receive a Form 1095-A, 1095-B, or 1095-C. In addition, if you were an employee of an employer that was an applicable large employer in 2015, you may receive a Form 1095-C. If you don’t fall in either of these categories, you won’t receive a form.
8. Will I get more than one form?
Maybe. You are likely to get more than one form if you had coverage from more than one coverage provider or if you worked for more than one employer that offered coverage. You are also likely to get more than one form if you changed coverage or employers during the year or if different members of your family received coverage from different coverage providers.
The following examples illustrate when you may get more than one Form 1095 and what to do with the information on those forms.
Example 1: You are single with two dependent children. At the beginning of 2015, you were unemployed, and you and your children were enrolled in coverage through the Marketplace. You received the benefit of advance payments of the premium tax credit to help pay for your coverage. In August of 2015, you started working 40 hours per week for an employer with 300 employees (an applicable large employer) that offered health insurance coverage to you and your children. However, that offer of coverage was considered unaffordable to you for purposes of the premium tax credit, so you did not enroll in it and instead continued your Marketplace coverage with advance payments of the premium tax credit. Early in 2016, you receive Form 1095-A (from the Marketplace) and Form 1095-C (from your employer).
When you complete Form 8962, Premium Tax Credit, you will use the information on Form 1095-A to reconcile advance payments of the premium tax credit and to verify that you had health coverage for the entire year. You will use Form 1095-C to verify that your employer coverage was unaffordable for you. You will not attach Form 1095-A or 1095-C to your return, but you should keep these forms with your tax records.
Example 2: You are single with no dependents. At the beginning of 2015, you were employed by employer A, which has 20 employees (and therefore is not an applicable large employer). You had coverage through A’s employer-sponsored plan, which is insurance that A purchases from health insurance issuer Q (i.e., not a “self-insured plan”). In June of 2015, you changed jobs and started working 40 hours per week for employer B, which has 500 employees (and so is an applicable large employer). You immediately began receiving coverage through that employer’s plan, which is insurance it purchases from insurance issuer R. Early in 2016, both insurance companies will send you a Form 1095-B providing information about the coverage in which you were enrolled. You also will receive a Form 1095-C from employer B, the applicable large employer, providing information about the health coverage B offered you.
You will use the information on Forms 1095-B to verify that you had health coverage for each month during the year and will check the full-year coverage box on your tax return. You will not need to use Form 1095-C to help complete your return because the information about the offer of health coverage made by your employer relates to whether you are eligible for the premium tax credit and you cannot get a premium tax credit if you were not enrolled in a health plan in the Marketplace. You will not attach Form 1095-B or Form 1095-C to your tax return, but you should keep both forms with your tax records.
9. Will I get a Form 1095-C from each of my employers?
Not necessarily. You will only receive a Form 1095-C from your employer if that employer is an applicable large employer, meaning it had 50 or more full-time employees (including full-time equivalent employees) in the year before the year to which the form relates. Most employers have fewer than 50 employees and therefore are not applicable large employers required to provide Form 1095-C to their full-time employees.
Even if your employer is an applicable large employer, you will only receive a Form 1095-C for that employer if you were a full-time employee for that employer for at least one month of the year or if you are enrolled in an applicable large employer’s self-insured health plan, even if you are a part-time employee.
10. How are the forms similar?
11. How are the forms different?
12. What do I need to do with these forms?
13. What should I do if:
In any of these situations, you should contact the provider of the form (or the entity that you think should have provided you a form, if you think you should have gotten a form but did not get it):
How the Forms Relate to Your Tax Return
14. Can I file my tax return if I have not received any or all of these forms?
If you enrolled in coverage through the Marketplace you will need the information on Form 1095-A to complete Form 8962 to reconcile any advance payments of the premium tax credit or claim the premium tax credit, and to file a complete and accurate tax return. If you need a copy of your Form 1095-A, you should go to HealthCare.gov or your state Marketplace website and log into your Marketplace account, or call your Marketplace call center. Although information from the Form 1095-C – information about an offer of employer provided coverage - can assist you in determining eligibility for the premium tax credit, it is not necessary to have Form 1095-C to file your return. See Publication 974 for additional information on claiming the premium tax credit.
You do not have to wait for either Form 1095-B or 1095-C from your coverage provider or employer to file your individual income tax return. You can use other forms of documentation, in lieu of the Form 1095 information returns to prepare your tax return. Other forms of documentation that would provide proof of your insurance coverage include:
If you and your entire family were covered for the entire year, you may check the full-year coverage box on your return. If you or your family members did not have coverage for one or more months of the calendar year, you may claim an exemption or make an individual shared responsibility payment.
You will not need to send the IRS proof of your health coverage. However, you should keep any documentation with your other tax records. This includes records of your family’s employer-provided coverage, premiums paid, and type of coverage.
15. Am I required to file a tax return if I receive one of these forms?
If you receive a Form 1095-A, Health Insurance Marketplace Statement, showing that advance payments of the premium tax credit were paid for coverage for you or your family member, you generally must file an individual income tax return and submit a Form 8962 to reconcile those advance payments, even if you would not otherwise be required to file a tax return. You also must file an individual income tax return and submit a Form 8962 to claim the premium tax credit, even if no advance payments of the premium tax credit were made for your coverage. For more information, see the instructions to Form 8962,
However, you are not required to file a tax return solely because you received a Form 1095-B or a Form 1095-C. For example, if you are enrolled in Medicaid you will receive a Form 1095-B. If you do not have a tax filing requirement, you do not have to file a tax return solely because you received the Form 1095-B reflecting your Medicaid coverage.
The health care law tax filing requirements are the same as last year.
16. Should I attach Form 1095-A, 1095-B or 1095-C to my tax return?
No. Although you may use the information on the forms to help complete your tax return, these forms should not be attached to your return or sent to the IRS. The issuers of the forms are required to send the information to the IRS separately. You should keep the forms for your records with your other important tax documents.
As information from the IRS site becomes available I will post to this page.
Affordable Care Act – Individuals
New IRS Publication Helps You Find out if You Qualify for a Health Coverage Exemption
Taxpayers who might qualify for an exemption from having qualifying health coverage and making a payment should review a new IRS publication for information about these exemptions. Publication 5172, Health Coverage Exemptions, which includes information about how you get an exemption, is available on IRS.gov/aca.
The Affordable Care Act calls for each individual to have qualifying health insurance coverage for each month of the year, have an exemption, or make an individual shared responsibility payment when filing his or her federal income tax return.
You may be exempt if you:
On IRS.gov/ACA, you can find a comprehensive list of the coverage exemptions.
How you get an exemption depends upon the type of exemption. You can obtain some exemptions only from the Marketplace in the area where you live, others only from the IRS when you file your income tax return, and others from either the Marketplace or the IRS.
Additional information about exemptions is available on the Individual Shared Responsibility Provision web page on IRS.gov. The page includes a link to a chart that shows the types of exemptions available and how to claim them. For additional information about how to get exemptions that may be granted by the Marketplace, visit HealthCare.gov/exemptions.
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