☰
✕
Sign In

Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Oct 24, 2022 3:57:33 PM

2020 8915E - deferred pmt in 2021 is making me have to repay PTC on 2021 Form 8962?

2020 I took the penalty free withdrawal and claimed paying tax over 3 years.

For 2021, my adjusted gross income is 33,000 higher than the amount of money I really received (1/3 of the 2020 tax deferment).

Now, I owe $4000 back on my health insurance because it thinks I made that money.   Is this a mistake?  If so, how can I adjust it to show that I did not earn this money in 2021?

0 2 222
2 Replies
Level 15
Oct 24, 2022 5:29:51 PM

 "my adjusted gross income is 33,000 higher than the amount of money I really received "

 

your AGI is $66,667 lower than the amount of money you actually received.

 

@brownies1476 

Level 15
Oct 24, 2022 6:11:32 PM

This is correct ... it is one of the draw backs to spreading the distribution over a 3 year period because it can affect other things.   You can pay it all/some of it back to adjust the amount being taxed on the 2021 return however  sometimes the cure is worse then the disease.