Type of health insurance for Massachusetts - Private Insurance and MassHeath

[Nate402]

Good day. I am filling out my taxes for the state of Massachusetts and have a question about health insurance. I was let go from my job in May 2023. I had private health insurance (Anthem) through my employer. When I was let go, my employer covered my health insurance for the remaining of 2023 as part of the separation package. I had to pay full COBRA rates in December so I could keep my Anthem insurance until the end of 2023. But I did have this private health insurance through Anthem for all of 2023.

I was not able to find a new job, so I had to apply for MassHealth, which is a health insurance benefit for Massachusetts residents who are below the poverty level. I did qualify for MassHealth and was planning to begin using MassHealth in 2024. I had to sign up for MassHealth in November 2023 in order for it to be approved and ready to be used on January 1, 2024. So, I was sent a 1095-B for having MassHealth for the months of November and December for 2023.

I did not use the MassHealth insurance for November or December because I still had my Anthem insurance from my former employee. So, all my insurance claims went through Anthem, and none went through MassHealth for 2023.

So, in Turbo Tax, they ask me what type of health insurance I had in 2023. It said to choose all that applies to me. I checked the box for "I had private insurance" (because I had Anthem for all of 2023.) There's another checkbox for "I had something else", and if I check that, it asks what type of insurance, and I see an option for "MassHealth".

My question is, do I check BOTH of these boxes ("I had private insurance" and "I had something else > MassHealth")? I was sent a 1095-B because I was technically approved for MassHealth for November and December 2023, but I never used it in 2023 because I had private insurance. Or do I ONLY choose the box for private insurance given the fact my insurance claims only went through Anthem for all of 2023. None of my claims went through MassHealth for the two months I was approved for it in 2023 (November and December)?

I got confused because I was sent the 1085-B and I know that gets filed with the IRS, so I didn't know if I need to acknowledge this by checking that box on the Turbo Tax screen even though I didn't begin using MassHealth until 2024.

Thank you!

[JulieS]

No, because your private coverage lasted the entire year, it isn't necessary to report that you also had MassHealth at the end of the year. 

The purpose of Schedule HC is just to verify that you were covered during the entire year and that you don't owe a penalty for not having coverage. 

If MassHealth provided a 1095-A for the end of the year, you need to report that on your federal tax return. If you received a 1095-B, that doesn't need to go on your tax return at all.