Ok ... this is one of those strange things in the tax law ... since the SEHI adjustment changes the rest of the return and affects the PTC later the final adjustment is not calculated and added until the PTC is calculated and then the SEHI is adjusted ONLY ONCE. If you keep recomputing the PTC to adjustment to PTC to adjustment etc it is like looking into a hall of mirrors and the calculations would never end to the IRS allows you to stop at one calculation.
For instance ... the out of pocket SEHI amount is say 1000 and is entered as an adjustment then the PTC was now 200 then the SEHI adjustment is reduced to 800 and the cycle stops. Same thing happens (usually) if you had to repay some of the advance credit ... so say you now owe 500 back then the adjustment would now be 1500 (1000 + 500).
In my professional program we are required to make the adjustment ourselves and that is how we do it ... we enter the SEHI amount first then complete the 8962 form and see if there is a repayment or more PTC allowed and adjust the SEHI amount manually ONCE.
