topic Re: HELP with PTC and HCTC for same month, different coverage. in Get your taxes done using TurboTax

HELP with PTC and HCTC for same month, different coverage.

amarodi401 — Fri, 15 Oct 2021 19:35:57 GMT

I am eligible for the HCTC, but it was not approved by year-end 2019 and we received a letter from the IRS in 10/2019 telling us the credit was expiring for coverage months beginning 1/2020, and to begin a search for affordable health care coverage. Therefore, we had to purchase insurance through the MArket place by the deadline in Dec 2019 to ensure that we would have medical coverage. Then, the HCTC credit got approved in February, so we were entitiled to reenter the plan, but had to buy HCTC qualified insurance retroactive to Jan 1, 2020 . We then dropped the Marketplace plan. So for the months of Jan and Feb, we paid for two seperate coverage plans-one through the marketplace and a seperate one through our previous employer that was HCTC qualified. Ultimately then, I received a 1095A for the PTC for Jan and Feb, and also a 1099H, qualifying us for the entire year. Since it was different coverage (2 seperate policies) for the 2 months, do I just complete Forms 8885 and 8962 as you typically would? I know that you can not take the PTC and HCTC for the same coverage in the same month, but this is different/seperate coverage in the same. I cannot get answers from the IRS, CPA, forums, instructions and see no where on the forms how to address this. Thank you!

Re: HELP with PTC and HCTC for same month, different coverage.

Critter-3 — Fri, 15 Oct 2021 19:37:45 GMT

Do I just complete Forms 8885 and 8962 as you typically would? Correct

Re: HELP with PTC and HCTC for same month, different coverage.

amarodi401 — Fri, 15 Oct 2021 19:43:19 GMT

So both credits are allowed in the same month under the circumstance I described?

Re: HELP with PTC and HCTC for same month, different coverage.

tbrown21 — Fri, 15 Oct 2021 19:59:49 GMT

This is from IRS: FAQ from 2015, but I believe it is same for 2020 IE no double dipping

You can claim the HCTC for all qualified health plans offered through a Health Insurance Marketplace , However, you cannot claim both the HCTC and the premium tax credit (PTC) for the same coverage for the same coverage months checked on line 1 of Form 8885. You can only claim PTC for coverage for which you do not elect the HCTC.

This is the link: https://www.irs.gov/credits-deductions/individuals/hctc-claims-faqs