February 25, 2016

Affordable Care Act

Are you confused as to when the Individual Mandate (Obamacare penalty) goes away?

 

According to the Tax Cuts and Jobs Act, the mandate (penalty) is still in effect, however, as of January 1, 2019, the penalty drops to zero. This means every citizen is still required to have health insurance but the penalty for not having it is now zero.  If you purchase your health insurance through the marketplace (healthcare.gov), you are required to file a return to reconcile your government contribution to your healthcare.

 

Form 1095-A for health insurance purchased through the Marketplace (healthcare.gov) IS REQUIRED to prepare your tax return.

Forms 1095-B and 1095-C are NOT required to prepare your tax return, however, they are excellent sources of residency verification for your dependents.

 

If you have any questions regarding the Affordable Care Act, please click on the link below.

http://www.irs.gov/Affordable-Care-Act/Individuals-and-Families/ACA-Individual-Shared-Responsibility-Provision-Exemptions