1095-A questions and problems

[himar07]

Hello, 

 Please Help! I put in my 1095-A info and are self-employed.  I also had my daughter on my health insurance until 11/30/2022.  Turbo tax allows me to check the box for self-employed and also for " that I shared this policy with someone not on my taxes".  However, when I get to the end and run error check it gives me six errors because of a "business-related smart sheet" in relation to entering in my daughters social, PTC and Premium percentages and time frame she was on my health plan.  So, assuming okay to just bypass with these errors? I am assuming calculations would still be correct?  Lastly, in reading about the Premium, SLCSP, PTC percentages I need to enter; it sounds like we can calculate, or we can come up with an agreed percentage between myself and my daughter, correct?   Example: I could say 75% then my daughter would need to put 25% on her taxes as long as it adds up to 100%, correct?    Also, turbo tax in its little help section states to leave the "SLCSP Percentage blank" in my situation; just to fill out the PTC and Premium percentage, Is that correct?   Thanks a lot, in advance, Mark.

[Vanessa A]

So, assuming okay to just bypass with these errors? I am assuming calculations would still be correct?  The calculations are likely correct, however, if it is giving you an error, it will not likely allow you to e-file. What exact error is it giving you in regards to your daughter? Is it telling you that she is not on the return or something else?

Lastly, in reading about the Premium, SLCSP, PTC percentages I need to enter; it sounds like we can calculate, or we can come up with an agreed percentage between myself and my daughter, correct?   Example: I could say 75% then my daughter would need to put 25% on her taxes as long as it adds up to 100%, correct? Yes, this is correct. You can allocate in any manner you choose to.  You can even allocate 0% and 100% as long as it totals 100%. 

Also, turbo tax in its little help section states to leave the "SLCSP Percentage blank" in my situation; just to fill out the PTC and Premium percentage, Is that correct?  Is the SLCSP not on your 1095-A? What is your exact situation that it is saying do not enter this?  The  SLCSP is generally used to calculate your Premium Tax Credit

[himar07]

Thanks so much for reply.   To clarify better, my situation is this. I am self-employed.  Myself, my wife, and my daughter were all on the same marketplace plan for 2022.  I am not able to claim my daughter as a dependent for 2022 as well, due to income, not full-time student anymore, she is 23.  So essentially me and my wife shared the plan with our daughter.  I file married jointly.  My daughter will file single her own return.  In completing the step-by-step instructions in Turbo Tax, it asks me to check if the following situations apply to me.  I check the box for being self-employed and the box for sharing the plan with someone else.  Then it asks how many months we shared and to input her social and the Premium, PTC, SCCSP percentages.  I do that then move on, when I get to the end and run error check it gives me 6 errors.  All of them have to do with the fact that i checked self-employed and that i shared it.  I actually unchecked the self-employed box and then all of the errors go away. They all have to do with where i put my daughter social, and the months and percentages of our shared plan.  Here are 2 of the 6 errors:   

[himar07]

Hello, I thought since my answer to first question was so long, I thought i would just send another post, and clarify one of your statements and answer the last question.  

Myself and my wife, file jointly and for 2022 shared a marketplace plan with my daughter, who is not a dependent on mine and will file her own tax return.  So, you stated that we can allocate the percentages however we want on the three boxes, Premium, SLCSP, PTC, as long as between the two of us it equals 100%, correct?    I did some research on the IRS website and read the same thing.  All of the percentage must match, on all boxes, as long as we both agree.  The reason I am triple checking, lol, is that my myself and my wife made considerably more income than my daughter.  I am also self-employed. In playing around with the percentages in three boxes, if i put 0 in all of mine, it increases my tax liability by about 1700.  If i then put 100 in my daughters return(I am doing her return for her, lol) it exponentially increases her refund by around 7200.  I am assuming this is because her income level is so low.  Her AGI is 17951.  That just seems strange to me, but I would rather help her out, since it does not increase mine nearly as much.  However, I don't want to cause problems with IRS and just make sure that this is okay.

[DaveF1006]

Yes, it is all about income and poverty levels. I would like to share with you this Turbo Tax article that explains the PTC more in depth. 

Yes, all percentages must equal 100%.  It doesn't matter if you do a 50-50, 75-25, or a 100-0 split between your return and your daughter's return. Whatever % split you decide your daughter must take, she will need to report her % split on her return that was agree upon.

As long as the percentage amount agree between your tax return and your daughter's, you should not have any problems with the IRS. Here is another IRS article you might read that explains eligibility for PTC more in detail and how it is determined.

@himar07