@IntuitAustin  This is a new NJ requirement this year and new Intuit form/worksheet. Apparently, not quite ready for release. Could you please follow-up with development and advise if and when it will be corrected/completed.   (FYI.... this is one that i'd post on the bug blog we discussed).

@poletaev  is correct. The NJ-HCC form is either not accepting the exemption code or not calculating correctly or both.

If you mark Part I  'part year insurance'  you are required  to complete Part 2 for each TP or dependent. There is a shared responsibility payment calculated for each month a taxpayer/dependent did not have health coverage.  Entering the appropriate State exemption code for a taxpayer should cause the NOT to  assess a shared responsibility for that person.

Example:  If you show that a taxpayer only has health coverage March -December the 'X's for Jan and Feb would not be entered. The program will assess the shared responsibility for Jan and Feb.  

Entering the State exemption code of "B-1" on the Exemption code line should cause the program NOT to assess the shared responsibility calculation for that individual. It does not. The form that is being generated appears incorrect.