Thanks for your response.
Neither of us taking SS benefits.
No foreign interest, income or property.
My investigation shows me that MAGI is ALL INCOME, including unemployment compensation which I had. It does not include our standard deduction of $25,900.
Our AGI is taxable income after deductions which DOES include the the standard deduction.
My problem is health insurance APTC.
I get private health insurance through my work that is based on my wages earned. However, because my wife's employer offers health insurance, my health will not allow her to take them as primary.
She elected to buy a Covered California plan at $647/mo or $7767/yr. The SLCSP IS 421/mo or 5062/yr and the APTC is 420/mo or 5050/yr.
Form 8862 uses MAGI to figure out the health insurance burden. In essence, Form 8862 is using my income to figure out what she should be paying instead of just using her income or our AGI. Which means my earned allow me to get health insurance through my employer, but my wages penalize my wife by giving her/us a much larger wage above the FPL.
Last year's FORM 8862 had a box to check to account for anyone approved/taking Unemployment compensation. If that box was checked, it capped your FPL at 133%.
This year, no such option appears and it is putting us at 401%, even though we made $20K less. It makes no sense to me.
