I had the same situation but in reverse - we are the parents with high income and my nondependent adult child under 26 had a relatively low income. We used TurboTax in 2023 for both returns and allocated 100% to our child. The result was our adult child with 100% allocation received a small tax credit and us as parents had much less a tax burden had we not been allocated 0%. Although our parental filing included the 1095A and 8964, the IRS sent us a letter requesting that same info, saying they have different information than what was provided by state exchange. We had purchased TurboTax audit defense, so we discussed the letter with the assigned CPA, and he recommended resending the IRS the requested data and we did. To date the IRS has not responded to our reply, but we got a letter from our exchange that incorrectly states the IRS did not receive our 8964, and we may not be eligible APTC in the future. Of course we submitted the 8964 twice to the IRS now, so we are hopeful this resolves itself. I think the issue may be related to 8964 tax family income. The instructions for line 2b say include dependent income but say nothing for non-dependents. Furthermore, we as parents with 0 allocation are instructed to enter 0 on line 4 - tax family size, and 0 for the allocated values in "appropriate" boxes. My child on the other hand has no dependents or even non dependent adult children under 26, so line 2b again is 0. Perhaps the IRS intends combined income of other people on the 1095-A, but this is not stated. That was 2023 taxes. This year my adult child under 26 got married and moved to a different state, and was on our same marketplace plan for only the first 6 months. They plan to file jointly and their income will be close to our parental income for the year. Also, the ACA may not exist for much longer.
