TurboTax says SSN policy allocations for 1095A linked to a business are not supported. But my adult son's SSN is not a business. What do I do?

[SharonD007]

Is this a shared Marketplace policy with someone who isn't on the return?  Please provide more information so we can help.

[kenbarnes9]

Yes, the insurance was from the Idaho Marketplace and included my son, who moved out during the year, got his own insurance, and filed his own tax return.

[JamesG1]

At the screen Since this is a shared policy, we need to know how to allocate the policy amounts, has the correct Social Security number been entered?

@kenbarnes9 

[bkrett01]

I am also having this issue - and it comes up in the error checking.  I was planning to take 100% of the allocation and my daughter, who is on the health plan (ACA plan) is no longer a dependent starting in 2024.  I have not tried to file my return yet.  What does that mean that it isnt supported - does that me the credit computation of the ACA plan is not calculating right if I use 100% allocated to me?  Bottom line is how do I know the ACA credit is computed properly?

[MarilynG1 · Accepted solution]

The PTC credit would be calculated correctly if you don't link the 1095-A to your business and allocate your policy.  If you link it and also allocate it to your non-dependent, that situation is not supported in TurboTax, as you mentioned. 

You can either link to your business for the Self-Employed Health Insurance Deduction, or not indicate the allocation, or calculate Form 8962 separately and print and mail your return with the 8962 you prepare. 

To Efile and not affect your dependent's Efile, you could not link the 1095-A to your business, and Amend your return later for the difference.

Here's Instructions for Form 8962.

@bkrett01 

@kenbarnes9 

[kenbarnes9]

That did the trick for me.  I was able to file with no further issues.  Thanks!

[bkrett01]

I short, it sounds like what you are saying is that Turbo tax does not work for this scenario, correct? If my plan was to take 100% of the allocation and not give any to my daughter and in turbo tax, just ignore the allocation stuff and link it to my business, will the tax computations be correct as iff I had allocated 0% and turbo tax worked? So that in the end, the IRS can complain about not allocating, but my response is that it doesnt change my taxable liablitiy - is that all correct?

[BillM223]

I want to be clear. Are you saying that you have a Schedule C business and that you have an ACA health policy through this business, AND that policy also has your child? And you wanted to allocate 100% of the ACA policy to you and 0% to your child (which is common)?

Yes, TurboTax says that this is not supported. 

Yes, it appears that just ignoring the child like Marilyn described should work (and apparently did for kenbarnes9).

Your response to any IRS questions would be "I did this to work around software limitations, but more importantly: it doesn't change my taxable liability". Sounds good to me.

@kenbarnes9 

@bkrett01