LenaH
Employee Tax Expert

State tax filing

It depends. If you are claiming the exemption of poverty, please ensure you enter A-3 and check off every month the exemption applies. 

 

When completing her New Jersey return, please ensure you follow the steps below:

  1. On the page titled Did you have coverage for some of 2020? select Yes, I had coverage during the part of the year (since she has an exemption). 
  2. Click Edit next to her name on the page titled Indicate which months you had coverage in 2020.
  3. Enter the exemption code and check off all the months that the exemption code applied. I have attached a picture below for additional guidance using the poverty code, which is A-3.
  4. Click continue.
  5. On the page Your New Jersey Bottom Line (NJ-1040), the penalty for healthcare is removed.

Please see Claim Exemptions for a list of exemptions and codes. 

 

@Traceyg3362

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