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]

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. 

[Vanessa]

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.

[atomassi88]

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]

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 · Accepted solution]

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.