1095 A information for childrend that are no longer dependents

[tandmdye]

We received a 1095 A for my husband, myself, my dependent son and 3 of my children that are no longer dependents.  One of the non dependents was on our marketplace plan for January only, the other two non dependent children were on for all of 2024. As parents, we paid for the marketplace coverage for all children and I do not want to allocate to them.  We did not receive an advanced payment of premium tax credit in 2024.

Who do I list as my tax family?  Just myself, husband and dependent son because that is how I am filing for 2024?  Other 3 non dependent children are all working and we will not be claiming them this year.

Do I have to allocate  to the non dependent children?  Do I mark that I am not sharing coverage with another taxpayer? Do I mark that I am sharing coverage and list us as 100% allocation and they file with 0% allocation?

How do the non dependent children fill out their information?

[DawnC]

You need to allocate policy amounts (enrollment premiums, SLCSP premiums, and/or APTC) on a Form 1095-A between your tax family and another tax family if:

1. The policy covered at least one individual in your tax family and at least one individual in another tax family; and
2. Either:  a.) You received a Form 1095-A for the policy that does not accurately represent the members of your tax family who were enrolled in the policy (meaning that it either lists someone who is not in your tax family or does not list a member of your tax family who was enrolled in the policy), or b.) The other tax family received a Form 1095-A for the policy that includes a member of your tax family.

Allocating Policy Amounts

You have to indicate you shared the policy with the 3 non-dependent children, and each of them has to indicate they shared your policy.    Examples

Change in circumstances affecting SLCSP.   If you had a change in circumstances during 2024 that you did not report to the Marketplace, the SLCSP premium reported may be wrong.   Examples of changes in circumstances that may affect your applicable SLCSP premium include the following:

• You enrolled an individual newly added to your tax family during 2024 (for example, a newborn).
• An individual in your tax family was enrolled in your qualified health plan for some but not all of 2024.
• An individual in your coverage family became eligible for or lost eligibility for employer coverage or other MEC during 2024.
• You are including an individual in your tax family for the year of coverage but you did not indicate to the Marketplace at enrollment that you would do so.
• You indicated to the Marketplace at enrollment that you would include an individual in your tax family for the year of coverage but you are not doing so.
• An individual enrolled in the coverage died during 2024.
• You moved during 2024.

If any of the above apply and you did not notify the Marketplace or if you have reason to believe the Marketplace reported the wrong applicable SLCSP premium, determine the correct applicable SLCSP premium for the months affected.    To determine your applicable SLCSP premium for each month, see Pub. 974 or, if you enrolled through the federally facilitated Marketplace, go to HealthCare.gov/Tax-Tool/. 

Allocation Situation 3. No APTC

[Edited 02/18/25 |  11:20 am PST] @tandmdye

[tandmdye]

So on our 1095 A  the amount listed is for the whole family.  If the non dependent kids have to enter that form, they will put the whole amount for the family and then 0% allocation, correct?

[MarilynG1]

Yes, if the non-dependent children did not receive their own 1095-A, they will enter the info (totals) from yours and 0% allocation.

Here's more info on Allocating 1095-A.

@tandmdye 

[k9998]

Hello, my situation is exactly as you described in your post.   However i am reading a lot of conflicting messaging from other posts that suggest I would need to indicate in turbotax that I am sharing the policy with someone else not on my tax return, and allocate 100%.

My daughter (non-tax dependent but is  on our ACA healthcare plan) did have to file her tax return with our 1095-A info and 0% allocation to her.

Will i get an IRS query if i do what you suggest - " You do not need to indicate that you are sharing the policy on your tax return since you will not be allocating premiums or credits from your policy."?

Definitely want to avoid getting an IRS letter that i've filed incorrectly.  Thank you very much!

[DawnC]

You do need to indicate that you shared the policy with someone not on your tax return, and then you can allocate 100%.   See the example that matches your situation from this TurboTax FAQ.   

Allocating Policies  @k9998