If you enrolled in coverage through the Health Insurance Marketplace last year, you’ll need a brand new form to file your taxes this year. It’s Form 1095-A, and it should by mailed to you by January 31, 2015. If you do not receive this form, you should contact the Marketplace from which you got your health insurance to obtain a copy. Leer en español.
So what’s the big deal about this little piece of paper? Well, there’s an ACA tax term you may not be familiar with – reconciliation. This is just a fancy term for making sure that one set of numbers equals another, but it’s an important process. If you received the Advance Premium Tax Credit last year to help pay for your health insurance, you’ll need reconcile that credit using Form 1095-A.
Here’s why: when you applied for your tax credit, you had to estimate your income for the upcoming year, but sometimes life doesn’t play out exactly how you plan. Maybe you got a nice little raise this year. Maybe you made less than expected. Or maybe your household situation changed. These factors can result in you having to repay some or all of your tax credit, or you could receive more money back.
To get help reconciling your Advance Premium Tax Credit, make an appointment with one of our ACA Specialists. And, remember to bring your Form 1095-A.