I was covered under my parents health plan. I did not receive a 1095-A but am listed on my parents' 1095-C. Do I just check NO for receiving a 1095-A?

[DawnC]

Form 8962 Premium Tax Credit is required when someone on your tax return had health insurance in 2020 through Healthcare.gov (or a state marketplace) and took the Advance Premium Tax Credit to lower their monthly premium. We'll help you create (or correct) the form in TurboTax.   @Celaine3    @Dsteiner1

If you received the notice from the IRS to send in the 8962 and 1095-A, use these instructions to have TurboTax complete the 8962, which you can print and forward to the IRS.  

When you enter the 1095-A, you will click the Shared Policy option.  Then on the next page, you will enter the percentages that you and your parents have agreed upon.  If they are to cover all of it, then allocate 100% to the other taxpayer and 0% to yourself.   Depending on the details of your particular situation, choose the option that best represents your 1095-A from this link for an explanation of how the advance Premium Tax Credits works with a shared allocation.   This will depend on the amounts in columns B and C of the Form 1095-A.

Also, please note that TurboTax is not yet updated for the recent legislative changes regarding the Premium Tax Credit.  Some taxpayers will not have to pay back the advance payments as part of covid-relief legislation that passed last month.  So, the tax calculations may not be correct but we expect to hear something from the IRS very soon on this.  

[boggs3201]

Hi - I see and understand your answer, but being that this is a year after that answer - i am wondering if something has changed?

We have always previously claimed our son as a dependent, but this year he is filing his own taxes and we are not claiming him as a dependent, But he is still on our Health Insurance Marketplace Statement 1095A.  I filled out the 1095A info in our joint return and checked the box that says it is shared by someone not in our return.  I then went and set all 3 percentages to 100%

In his return, he said he got a 1095A and he filled out the 1095A info from our form.  Then he set all his percentages to 0%.  The issue seems to arise when he runs the 'review' it says since he has indicated he 'can' be claimed as a dependent he should delete this 1095A form and have this 1095A reported on the tax return of the person who 'can' claim the dependent exemption.  I am quoting the 'can' because he can be claimed, but isn't being claimed.

Please help - thank you!

[DawnC]

Since he ''can'' be claimed as a dependent, he can't enter any 1095-A information on his tax return.    So, delete it from his return.   You have added it to yours and are claiming 100% of his premiums and tax credits, so it does not need to go on his return.   As you have found out, even if you try to put it on there (like it says to;), he is going to get errors when trying to e-file his return with a 1095-A attached.   

If you're listed as a dependent on your parents’ tax return, you won't have any health insurance questions to answer on your own return. TurboTax will tell you Since someone is claiming you on their 2021 taxes, you don't have to complete Health Insurance.   Since he ''can'' be claimed, he is considered a dependent, for tax purposes, whether or not you actually claim him on your return.    Is there a reason you are not claiming him?   He won't qualify for the stimulus payment on his tax return (because he 'can' be claimed).     Whoever 'can' claim him qualifies for his stimulus money and the $500 other dependent tax credit.   

[boggs32]

Hi - thanks so much for the response and clarity.

We did not want to claim him as a dependent as he has excess scholarship money (that was just used for Room and Board) and a few small W-2's that make his MAGI high enough that when we put it in for the 1095A info. - it dramatically increases our amount due.  Even without us getting the $500 dependent credit for him, the total amount due if we file seperately is significantly less than if we claimed him as a dependent.  I do realize he won't qualify for the stimulus payment on his return, but thanks for mentioning.

Let me know if you think this all sounds above board, I just didn't want to raise any flags and I was concerned about putting 100% in for us on the 1095A as that also makes a significant difference in our amount due if I were to put in a lesser percentage.

Would love to get this done today - hope you can help me again.

Thank You!

[RaifH]

I think it's pretty brilliant and sounds completely above board. However, you only need to include your dependent's AGI on line 2b of Form 8962 if he is required to file. If your son's W-2s and taxable scholarship income do not exceed $12,550 then you are not required to include his income on 2b, even if you do claim him on your tax return. He can still file a return to receive a refund, but he is not required to file in this case.

Whether you claim him or not, he is not considered another tax household. Therefore, you do not have to worry about allocating the policy at all.

If your son's income is above $12,550 and you would have to include it on 8962, just make sure your entire tax picture is improved by not claiming him, including your state return, if applicable. 

[boggs32]

Thank you, yes his W2's and scholarship income are well in excess of the 12,550 (actually a little over 20k since he had a semester abroad, additional scholarship money seems to have been included to account for the additional abroad expenses) so yes we have to include that on 2b.  It does seem to make significant difference in total amount due as I said previously, I will check one final time as you have cautioned - thanks.

Thanks for the clarity on not allocating the policy since he is not another household - I feel much better about it now.

I will check on the state impacts also before filing.

Thanks so much - have a great day!

[Kyara_K]

I recently field my tax return & it’s usually accepted within the first hour. After waiting 4 days it was rejected stating that I was supposed to file a 1095 A. I’ve been on my moms insurance for years & have never had this issue. I refilled added her info from the 1095 but not sure if I allocated it correctly as I put 100% in all the boxes. Will it be rejected again? If so how do I fix it?

[RobertB4444]

The 1095-A was sent to your parent to show how much the health coverage was for everyone that they are covering.  You are supposed to take the form and divide it up between the individuals on the form who are filing separate returns.

So in your example if you and your mother are the only two people covered by the 1095-A you would divide the amounts in half and put half on your return and half on her return.  If your mother also had a sibling of yours on her insurance and claimed that sibling on her return then you would divide the amounts on the 1095-A by 3 and put one third on your return and two thirds on your mother's return.  

The IRS may reject your return and it may reject your mother's return.  But putting the incorrect amounts in the 8962 will almost certainly delay the processing of your return as someone will have to check the amounts and figure out if they are correct or not.  At this point, since you have already filed your return, you should wait until the IRS has finished processing it and either issued you a refund or sent you a letter.  Once that has been done then you can file an amended return to correct the amounts from the 1095-A.

@Kyara_K

[Kyara_K]

I’ve been on her insurance for years as well as my 2 siblings I’ve never had this issue nor have I had to fill this out. A turbo tax advisor helped me figure what the issue was, I accidentally checked “yes” when asked if I received a 1095 A I meant to put no. We corrected the form & are waiting to see if my second regime is rejected or accepted if it’s rejected then we’ve already corrected everything & I will simply revoke it. She stated my mother probably usually takes this credit which is why it’s never happened.

[Kyara_K]

Refile*

[Stacey1220]

I do not have a 1095-A      My employer proved insurance.   My return is getting rejected with out a 1095_A——Why

[SharonD007]

Your tax return may have been rejected because someone on your tax return had health insurance through the marketplace. You can check with your Marketplace website or healthcare.gov to verify if anyone on your tax return was covered.

Another reason your tax return could have been rejected is because Forms 1095-A and 8962 are included on your tax return. To delete these forms from your tax return, follow the instructions below.

1. Launch TurboTax
2. Select TaxTools in the menu on the left
3. Select Tools
4. Select Delete a Form
5. Scroll down until you see Forms 1095-A and 8962 and delete both
6. Return to your tax return and review.

This should eliminate the error but if it doesn’t, please contact us again.

[fellinc]

I have this situation  - we have a shared healthplan with our daughter who files on her own but turbotax keeps saying the form is in error.  Is this a known error?  Do I just submit taxes anyway?

[LindaS5247]

Did you do as follows:

TurboTax will ask you to enter a 1095-A. You'll enter the info from your parents' form. The next screen will ask you about your health plan being shared, so check the box.

Then you'll see a screen asking for shared policy info. You enter the following:

• Enter the Social Security number in box 5 (recipient's SSN) on your parents' 1095-A
• Enter the starting month and ending month that you had the insurance

Now you'll be asked to enter percentages for Your Premium, Second lowest cost Silver plan (SLCSP) and advanced payment.

You should see amounts on your parents’ 1095-A, columns A, B, and C. You and your parents should agree on what percentage of those amounts you’ll claim on your return, and what percentage they’ll claim on theirs. You can use anything from 0% to 100%, as long it all adds up to 100%.

Click here for additional information when you are included on your parent insurance Form 1095-A. This article contains additional scenarios.

Click here for Instructions for Form 1095-A.