Claiming Parent Who Receives Medicaid as Dependant

[CarrieH]

Is this something new for the 2019 filing year? I was told at our local Illinois Medicaid office I could not claim my 19 year old disabled son in 2018 without it effecting his coverage. I am very worried about his eligibility

[DMarkM1 · Accepted solution]

That is usually the case.  Your son is more likely to qualify for Medicaid if you don't claim him as a dependent. If you claim him as a dependent, his household income for Medicaid purposes will include your income. If you don't, he can apply as a single individual and only his own income will count, even if he lives with you. Here is a link with information on the subject in IL. 

[CarrieH]

That is the complete opposite of what was replied above about a disabled 23 year old daughter. Over age 19 in a state with expanded Medicaid only his income counts. He only has SSI income and will not be filing a return.  Still unsure. Would love that extra bit on my return but don't want to cause problems

[AmyC]

I gave a long answer on your other thread. I suggest you call You can call the DHS help Line at (800) 843-6154.

@CarrieH

[jojo52319]

I'm in a situation similar to a number of others who have posted in this topic.  My son is 26 years old.  He lived at home and didn't have a job or income last year.  My health insurance plan covered him until he aged out of it in November.  He applied for a subsidized 2020 health plan through Healthcare.gov in December, but he was kicked over to Medicaid because he had no income last year.  He was enrolled in Medicaid effective December 1, 2019.

We supported him last year and planned to claim him as a dependent for 2019.  However, I want to make sure this doesn't mess up his ability to keep his health coverage in 2020.  We live in Virginia, which is a state that expanded Medicaid.  I've called the local Medicaid office and talked to a case worker.  She asked coworkers but none seem to know if it will or won't affect his eligibility.  The advice was "probably not" and "talk to a tax expert".  On this board two employee tax experts gave what appear to be opposite answers within a short period of time.  Is there a definitive answer to whether or not claiming someone as a dependent affects their Medicaid eligibility in states that have expanded Medicaid? 

[KarenJ2]

I am forwarding some information that may be of help to you.  

Electronic Code of Federal Regulations

Title 42: Public Health
PART 435—ELIGIBILITY IN THE STATES, DISTRICT OF COLUMBIA, THE NORTHERN MARIANA ISLANDS, AND AMERICAN...
Subpart G—General Financial Eligibility Requirements and Options

I would think that your state Medicaid agency would be able to answer your question.  

[jojo52319]

For what it's worth, I talked to a representative on the Cover VA (Virginia) help line concerning Medicaid coverage for adult dependents.  Her understanding was that when someone is claimed as a tax dependent, the income of the tax filer is used to determine eligibility for Medicaid.  She also said that the Medicaid case worker had the final say.  I previously talked to the case worker who told me she didn't know whether or not the filer's income was to be used to determine eligibility.

[lkeaner]

My daughter and grandchildren are currently all receiving medicaid health care

They have lived with us for the past year.  If I, the grandparent, claim the grandchildren as dependent on my federal and state taxes will it interfere in anyway with them qualifying/receiving their medicaid?

[DoninGA]

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@lkeaner wrote:

My daughter and grandchildren are currently all receiving medicaid health care

They have lived with us for the past year.  If I, the grandparent, claim the grandchildren as dependent on my federal and state taxes will it interfere in anyway with them qualifying/receiving their medicaid?

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That is a question you will have to ask your local Medicaid office.

[jojo52319]

Concerning Virginia Medicaid, I talked to a senior policy analyst in the Virginia Department of Medical Assistance Services.  He said, "If you choose to include your child as a tax dependent, it will change his/her tax filing status.  They would now be known as your tax dependent, and we would need to include all of the parent's income" in the determination of eligibility for Medicaid.

[bronecki007]

Hello!

I am from Michigan and my mother-in-law lives with us.  I claim her as a dependent on my income tax returns as she has no income.  My wife is a student with no income.  The family of (4) me, wife, child, mother-in-law adjusted gross income is $53k.  I would like to apply for Medicaid for my mother-in-law, will having her as a dependent on my income taxes effect her eligibility?  Will she be eligible for Michigan Medicaid if I claim her as a dependent or would it be better to not claim her?

Thank you for your help!  It is greatly appreciated.

[VictoriaD75]

You will need to contact the administrator of the plan for specific eligibility requirements. I have found the link below with contact information provided.

Healthy Michigan Plan

[RToranTaxQuestions]

If you flip the question and are asking about your adult children - who don't earn any income - does the same thing apply, to wit, can I claim them as dependents without interfering with their Medical/Medicaid eligibility. This is in California where I am aware that Medicaid was expanded as per the ACA. 

I would greatly appreciate any response. Thank you very much in advance

Ron T.

[Prestijoes]

My fiancé and our child are on medicaid. They live with me. Can I claim them both as dependents without effecting their eligibility? Would filing jointly effect their eligibility? 

[xmasbaby0]

You cannot file a joint tax  return with your fiance.  You can only file a joint tax return with someone to whom you are LEGALLY MARRIED.  

As for whether claiming them as dependents on your own tax return will affect their eligibility for Medicaid--that is a question for Medicaid.