2019 IRA Distribution Taken Before Marketplace Insurance Eligibility, Pushes income $200 above max allowed earnings for PTC.

[bwren9]

I took an IRA distribution in April 2019 before becoming eligible for insurance through the marketplace (CoveredCa) in May 2019. Now, preparing 2019 taxes on TurboTax Desktop, the distribution pushes me about $200 over the max allowable income for PTC eligibility, wiping out the credits. Is income taken before joining the marketplace counted against you? It looks like I could open a small IRA and get back below the AGI limit, but I'm hoping there's a workaround. Any ideas?

[dmertz]

"It looks like I could open a small IRA and get back below the AGI limit, but I'm hoping there's a workaround."

That or making an HSA contribution, if eligible, are the only possibilities.

[bwren9]

Thanks for the reply, and sorry about the delayed response. I appreciate the input. I will open an IRA. Thanks again.