Unused Healthcare Marketplace Premium Tax Credit

[user17698063767]

I qualified for over $370/month in a premium tax credit from Healthcare Marketplace. However, I did not use it and my monthly premium was $266. Now, I am trying to file my tax return and TurboTax says I do not qualify for it.

1. My income did NOT increase from the original estimate

2. I did not have a "Catastrophic" health plan 

3. I am positive none of the credit was used each month

Google says I should receive the credit added to my return, is this a mistake from TurboTax?

[xmasbaby0]

If you had health insurance from the marketplace, you must enter your 1095A.    Whether you used the insurance is irrelevant on your tax return.

To enter your 1095A go to Federal>Deductions and Credits> Medical>Affordable Care Act (Form 1095A)

If you had health insurance from the marketplace, when you applied for the insurance, you gave healthcare.gov an estimate of how much income you would receive in 2025.  They used that amount to calculate how much of the insurance premium would be covered by the tax credit and how much would be your amount to pay.   So...you had some monthly amounts to pay, and the rest of the cost of having that insurance was paid by the government program.

If you ended up making a higher income than you told them you would receive, they re-calculate how much should have been paid by the program and how much should have been paid by you.   And if your own share of the cost should have been more, they get it back on your income tax return.   

If you actually had less income, you could even get some of the share you paid back on your tax return.

[user17698063767]

I uploaded the 1095-A and the information is imputed correctly. None of the credits were used. I paid full price for my monthly premium out of my own pocket. My income was indeed less than the original estimate.  TurboTax still says nothing, how can I fix this?

[xmasbaby0]

Not sure what you think you mean when you say "none of the credits were used"-----Do you think that if you did not go to a doctor, have an X-ray,  fill a prescription, have lab work done, ride in an ambulance or stay in a hospital ---that you just get back the money you paid to have health insurance?   Sorry---insurance does not work that way.

[user17698063767]

None of the tax credits were used. Healthcare marketplace offered me the monthly credits to use towards the premium or to receive it when filing my tax return. I opted to pay the full amount by myself at the time and to receive the credits added to my tax refund. However, TurboTax now does not see that I qualified for the credit even though I still currently qualify.

[DianeW777]

If you would like to send us a “diagnostic” file that has your “numbers” but not your personal information it would help.  If you would like to do this, here are the instructions:  (Don't forget to give us the state)

TurboTax Online:

Open your return -Go to the menu panel on the left side of your return and select Tax Tools. 

1. Then select Tools below Tax Tools.
2. A window will pop up which says Tools Center.  
3. On this screen, select Share my file with Agent.
4. You will see a message explaining what the diagnostic copy is.  Click okay through this screen and then you will get a Token number.
5. Reply to this thread with your Token number and your state. This will allow us to open a copy of your return without seeing any personal information.

TurboTax Desktop:

If you like, you can send a copy of your return that will be scrubbed to eliminate your personal data by using these steps:

1. Click on Online in the top left menu of TurboTax Desktop for Windows
2. Select 'Send Tax File to Agent'* > Follow the prompts to reach the token number.
   • Enter your email used for TurboTax > Enter your code > Send
3. Write down or send an image of your token number and state then place in this issue.
4. We can then review your exact scenario for a solution.
5. Please also tell us any states included in the return. This is necessary for us to view the return.
   • *If using a MAC, go to the menu at the top of the screen, select Help, then, 'Send Tax File to Agent')

We will be able to see exactly what you are seeing and we can determine what exactly is going on in your return to provide you with a resolution.