Solved: I moved to USA in April and had a health insurance from June.how do I get an exemption?will my penalty be waved?how do I complete the health insurance part of TurboTax?
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khandakerabid
New Member

I moved to USA in April and had a health insurance from June.how do I get an exemption?will my penalty be waved?how do I complete the health insurance part of TurboTax?

i never lived in usa before. its an i-130 visa. how do I get rid of the penalty?

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DS30
New Member

I moved to USA in April and had a health insurance from June.how do I get an exemption?will my penalty be waved?how do I complete the health insurance part of TurboTax?

It depends -

If this is your first year in the US and you are not filing jointly with a US resident spouse, then if you meet the Green Card Test or the substantial presence test for this year, you will be considered a dual-status alien. In this situation, you would report only US sourced income before the date of your residency and all worldwide income after the date of your residency. (TurboTax does not support dual status filings.)

See this link for additional information US Tax Guide for Aliens.

Regarding health insurance -

Here are 2 exemptions you may be entitled to for the period before you got health insurance in June.

  1. Nonresident aliens are not required to have minimum coverage under the ACA/Obamacare requirements
  2. You are allowed a short gap exemption for coverage shortfalls during the year (You went without coverage for less than three consecutive months during the year. You are only allowed one short gap exemption per year)

You will claim or report coverage exemptions on Form 8965, Health Coverage Exemptions, and file it with your Form 1040, Form 1040A, or Form 1040EZ. TurboTax will guide you under the health insurance section and ask if you meet any exemptions.

Click this IRS link for more information about the Shared Responsibility Provision


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1 Reply
DS30
New Member

I moved to USA in April and had a health insurance from June.how do I get an exemption?will my penalty be waved?how do I complete the health insurance part of TurboTax?

It depends -

If this is your first year in the US and you are not filing jointly with a US resident spouse, then if you meet the Green Card Test or the substantial presence test for this year, you will be considered a dual-status alien. In this situation, you would report only US sourced income before the date of your residency and all worldwide income after the date of your residency. (TurboTax does not support dual status filings.)

See this link for additional information US Tax Guide for Aliens.

Regarding health insurance -

Here are 2 exemptions you may be entitled to for the period before you got health insurance in June.

  1. Nonresident aliens are not required to have minimum coverage under the ACA/Obamacare requirements
  2. You are allowed a short gap exemption for coverage shortfalls during the year (You went without coverage for less than three consecutive months during the year. You are only allowed one short gap exemption per year)

You will claim or report coverage exemptions on Form 8965, Health Coverage Exemptions, and file it with your Form 1040, Form 1040A, or Form 1040EZ. TurboTax will guide you under the health insurance section and ask if you meet any exemptions.

Click this IRS link for more information about the Shared Responsibility Provision


View solution in original post

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