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I Don’t Have Health Insurance- What Happens When I File Taxes?

If you don’t have insurance you’ll face penalties under ACA when filing your 2014 Taxes.

Obamacare aka The Affordable Care Act requires you and each member of your family to have basic health coverage. This insurance coverage can be through any of the following;

  1. employer-sponsored plan
  2. private health insurance company
  3. government program (ie. Medicare or Medicaid)
  4. federal or state marketplace (health insurance exchange)

If you don’t have health insurance under one of the four sources mentioned above, you’ll be forced to pay a fee when filing your taxes in 2015. The only way to get around this fee is if you qualify as an exemption.

2014 Tax Return Coupon

You’ll be Forced to Pay a Penalty

If you’re not exempt from buying health insurance, you’ll be forced to pay a penalty when you file your 2014 Tax Return. This payment is called the Individual Shared Responsibility and will total the greater of;

  • $95/ per adult + $47.50 per child (up to $285 per family)

OR

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How do I Report Health Insurance Through My Employer on My Taxes?

If you received insurance coverage through your employer in 2014, it will be reported in Box 12 of your W-2 Form.

Obamacare – also known as the Affordable Care Act, or the ACA – is a law enacted to ensure that all Americans can afford health insurance. It also requires Americans to have qualified health insurance as of January 1, 2014 through one of the following forms of coverage;

  • employer-sponsored plan
  • private health insurance company
  • government program (ie. Medicare or Medicaid)
  • federal or state marketplace (health insurance exchange)

If you received health coverage through your employer, the insurance information that you’ll need to report on your 2014 taxes will be found on your W-2 Form.

If you didn’t receive insurance through your employer and instead were enrolled in the Marketplace during 2014, visit the RapidTax Blog post “ I’m Enrolled in Obamacare Marketplace- How Do I Report it On My Taxes?”.

Reporting Employer-Sponsored Health Coverage on 2014 Taxes

If you received insurance coverage through your employer in 2014, follow these steps;

1. By the end of January 2015, you’ll receive a Form W-2. You may also receive a 1095-C. Hold onto each of these.

2. Your employer is not required to send you Form 1095-C. If they do, you’ll notice your health insurance information listed. You may want to review this form. Next year, you’ll definitely receive one. Continue reading “How do I Report Health Insurance Through My Employer on My Taxes?”

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I’m Enrolled in Obamacare Marketplace- How Do I Report it On My Taxes?

Enrolled in the Health Insurance Marketplace? Here’s how you’ll report your coverage on your 2014 Taxes

Obamacare – also known as the Affordable Care Act, or the ACA – is a law enacted to ensure that all Americans can afford health insurance.

If you enrolled in the Obamacare Marketplace, you’ll need to report it on your 2014 Tax Return. The information you report will directly impact your tax refund.

Below, you’ll find out how to report your health care insurance that you purchased through the marketplace on your 2014 taxes.

Reporting Obamacare on 2014 Tax Return

If you purchased your health care insurance through the marketplace for 2014, refer to the following steps;

  1. By the end of January 2015, you’ll receive a Form 1095-A in the mail. Don’t throw this form away! You’ll need it in order to complete your 2014 tax return.

  2. Look over the Form 1095-A. The following information will be reported;

  • effective date
  • the total amount of your premium through the Health Insurance Marketplace
  • the total premium assistance you received (aka the advanced payments of the premium tax credit paid directly to your insurance company to lower your out-of-pocket monthly premiums)

  1. Once you’re ready to prepare your 2014 taxes, have your Form 1095-A (and any other tax documents) on hand. Continue reading “I’m Enrolled in Obamacare Marketplace- How Do I Report it On My Taxes?”