I had health insurance overseas for part of the year through my employer in Korea where I live. How do I prove this?

[alexrizzi85]

I was covered under Obamacare from January 1st-August 2016 and then covered from August-December 31st 2016 by my employer in South Korea where I live. How can I prove that I was insured for the entire year?

[DS30 · Accepted solution]

Yes, you may be able to claim an exemption for your Korean health insurance but this Korean health insurance must meet the minimum essential coverage to qualify for a coverage exemption. (If you are a nonresident alien, nonresident aliens are not required to have minimum coverage under the ACA/Obamacare requirements.)

For this purpose, minimum essential coverage includes a group health plan provided by an overseas employer and certain expatriate health plans. (You may want to contact your Korean Health Insurance provider to check if you meet this requirement). One exemption that may be particularly relevant to U.S. citizens living abroad for a small part of a year is the exemption for a short coverage gap (This means that you went without coverage for less than three consecutive months during the year).

If your Korean Health Insurance meets the minimum requirements of the ACA, when you are entering your health insurance information into TurboTax, you can state that you had healthcare for the entire 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.

See this link for more information   ACA - Individual Shared Responsibility Provision – Exemptions: Claiming or Reporting

Please Note that U.S. citizens who are physically present in a foreign country or countries for at least 330 full days during any period of 12-consecutive months are exempt from the individual shared responsibility payment for any month in the tax year that is included in that 12-month period. In addition, U.S. citizens who are bona fide residents of a foreign country (or countries) for an uninterrupted period which includes an entire taxable year are exempt for that year.

Click these links for more information about the Bona Fide Residence Test or the Physical Presence Test

Click this IRS link for more information about US Citizens and Resident Aliens Living Abroad

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