The Affordable Care Act requires you and each member of your family to have minimum essential coverage, qualify for an insurance coverage exemption, or make an individual shared responsibility payment for months without coverage or an exemption when you file your federal income tax return.You, your spouse or your dependents may be eligible to claim an exemption Read More
NEW DEVELOPMENTS March 2016
Obama Care Penalty Exemptions
For taxpayers who didn’t have health care insurance in 2015, they may be eligible for waiver of the penalty which is $325 person ($162.50 for each child under age 18). Exemptions are for:
(1) taxpayers who can’t afford to pay the premium. This applies if the Read More
This year, there are some changes to tax forms related to the Affordable Care Act. Along with several new lines on existing forms, there are also two new forms that need to be included with some tax returns.
While most taxpayers simply need to check a box on their tax return to indicate they had health coverage for all of 2014, there are new lines on Forms 1040, 1040A, and 1040EZ related to the health care law. Information about the new forms and updates to existing forms is summarized below
Form 8965, Health Coverage Exemptions
Complete this form to report a Marketplace-granted coverage exemption or claim an Read More
So Valentine’s Day was here and left- that could only mean one thing – we are into the 3rd serious week of tax season! The Internal Revenue Service got out it’s fact sheet about the changes in reporting requirements for individuals. I thought for all those self-preparers, this would be a good tool to look at and see if this is the year you want to make the leap & have your taxes examined by a tax professional, especially an Enrolled Agent!
THE AFFORDABLE CARE ACT (ACA):
The ACA says that a taxpayer and each member of his family when filing his federal income tax return, must either
• Have qualifying health coverage for each month of the year; Read More
A few people have already pointed out this oddity in the Affordable Care Act including National Taxpayer Advocate Nina Olson in her 2013 Annual Report to Congress. Her excerpt notes that in determining if a person had affordable health coverage available to them from an employer, the measure is whether the self-only lowest cost coverage available to the employee costs 8% or less. It doesn’t matter if the family coverage offered by the employer is affordable. The relevance is that the family members won’t qualify for a Premium Tax Credit.
That seems odd if no “affordable” coverage was offered to the rest of the family. Isn’t that the point of the Affordable Care Act? To help make coverage affordable to everyone? Read More