It’s always a good idea to prepare early to file your federal income tax return. Certain provisions of the
Affordable Care Act – also known as the Health Care Law – will probably affect your federal income
tax return when you file this year.
You or your tax professional should consider preparing and filing your tax return electronically. Using
tax preparation software is the easiest way to file a complete and accurate tax return. There are a variety
of electronic filing options, including free volunteer assistance, IRS Free File for taxpayers who
qualify, commercial software, and professional assistance.
Here are five things you should know about the health care law that will help you get ready to file your
The Affordable Care Act requires that you and each member of your family have qualifying health
insurance coverage for each month of the year, qualify for an exemption from the coverage
requirement, or make an individual shared responsibility payment when filing your federal income tax
Most taxpayers will simply check a box on their tax return to indicate that each member of their family
had qualifying health coverage for the whole year. No further action is required. Qualifying health
insurance coverage includes coverage under most, but not all, types of health care coverage plans. Use
the chart on IRS.gov/aca to find out if your insurance counts as qualifying coverage.
For a limited group of taxpayers -those who qualify for, or received advance payments of the premium
tax credit – the health care law could affect the amount of tax refund or the amount of money they may
owe when they file in 2015. Visit IRS.gov/aca to learn more about the premium tax credit.
You may be eligible to claim an exemption from the requirement to have coverage. If you qualify for
an exemption, you will need to complete the new IRS Form 8965, Health Coverage Exemptions, when
you file your tax return. You must apply for some exemptions through the Health Care Insurance
Marketplace. However, most of the exemptions are easily obtained from the IRS when you file your
tax return. Some of the exemptions are available from either the Marketplace or the IRS.
If you receive an exemption through the Marketplace, you’ll receive an Exemption Certificate Number
to include when you file your taxes. If you have applied for an exemption through the Marketplace and
are still waiting for a response, you can put “pending” on your tax return where you would normally
put your Exemption Certificate Number.
Individual Shared Responsibility Payment
If you do not have qualifying coverage or an exemption for each month of the year, you will need to
make an individual shared responsibility payment when you file your return for choosing not to
purchase coverage. Examples and information about figuring the payment are available on the IRS
Calculating the Payment page.
Premium Tax Credits
If you bought coverage through the Health Insurance Marketplace, you should receive Form 1095-A,
Health Insurance Marketplace Statement from your Marketplace by early February. Save this form
because it has important information needed to complete your tax return.
If you are expecting to receive Form 1095-A and you do not receive it by early February, contact the
Marketplace where you purchased coverage. Do not contact the IRS because IRS telephone assistors
will not have access to this information.
If you benefited from advance payments of the premium tax credit, you must file a federal income tax
return. You will need to reconcile those advance payments with the amount of premium tax credit
you’re entitled to based on your actual income. As a result, some people may see a smaller or larger tax
refund or tax liability than they were expecting. When you file your return, you will use IRS Form
8962, Premium Tax Credit (PTC), to calculate your premium tax credit and reconcile the credit with
any advance payments.