I didn't take an advance Obamacare Premium Tax Credit, but have $0 taxable income. I entered my 1095-A and expected to get a credit, but nothing. Can that be correct?

atomassi88 · ‎June 5, 2019

I didn't take a Premium Tax Credit against my Obamacare health plan because I didn't qualify last year. This year I should qualify because my AGI is well under the required limits. I entered my 1095-A expecting to get a credit for the Premium Tax Credit I should have been claiming throughout the year. But I was surprised that TurboTax didn't give me a credit and is telling me I received the appropriate credit. Is this an error in TurboTax or am I missing something? Thanks.

TaxGuyBill · ‎June 5, 2019

As you found out, your income is too low to receive the Premium Tax Credit.

Unless you had received any Advance credit, your income must be at least 100% of the Federal Poverty Level ($12,060 for most people with a Household Size of one) in order to receive the Premium Tax Credit.

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Vanessa · ‎June 5, 2019

Is it just you in your household? What is your AGI and your Modified AGI? You'll find your MAGI on your 8962 in forms mode.

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atomassi88 · ‎June 5, 2019

I am the only person in my household. There is no 8962 form appearing. I am showing -$1,249 as the AGI on my 1040. I have an IRA rollover of significant amount, but I don't believe that should factor into my AGI since it was rolled into another IRA and is a non-taxable. I am taking the standard $12,000 deduction but wouldn't think I'd be required to itemize in order to get the Healthcare Premium Tax Credit. I as wondering if (and hoping) this section of Turbo Tax hasn't been completed.

atomassi88 · ‎June 5, 2019

I've been doing some testing. I added income in the form of long-term dividends. I added $10,000 of dividends and there was no impact. I added $17,500 (which brought my AGI to approx. $16,000) and my tax credit appeared. So there seems to be some type of minimum income requirement in order to get the Healthcare Premium Tax Credit. I don't understand why that would be the case, but it resolves my issue. Thanks.

TaxGuyBill · ‎June 5, 2019

As you found out, your income is too low to receive the Premium Tax Credit.

Unless you had received any Advance credit, your income must be at least 100% of the Federal Poverty Level ($12,060 for most people with a Household Size of one) in order to receive the Premium Tax Credit.

I didn't take an advance Obamacare Premium Tax Credit, but have $0 taxable income. I entered my 1095-A and expected to get a credit, but nothing. Can that be correct?