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Client with employer health insurance, marketplace July to October, Medicare after that. She's got an excess premium repayment of premium advance. Is this right?

joanne
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abctax55
Level 15

NOW that we have more info, yes there can be APTC payback.

If your client was subsidized (that is what the marketplace is all about) AND her income pushed her over that 401% cliff, then part or all of the subsidy may have to be paid back.

Consider an IRA or HSA (if qualified) to try to get off the edge of the cliff.

"*******Tax software is no substitute for a professional tax preparer*******
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abctax55
Level 15

NOW that we have more info, yes there can be APTC payback.

If your client was subsidized (that is what the marketplace is all about) AND her income pushed her over that 401% cliff, then part or all of the subsidy may have to be paid back.

Consider an IRA or HSA (if qualified) to try to get off the edge of the cliff.

"*******Tax software is no substitute for a professional tax preparer*******
( Generic Comment )"
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joanne
Level 1
Oh boy. That's not what I wanted to hear. Thanks.
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abctax55
Level 15
My biggest 'payback' this year was just shy of $ 23,000.
"*******Tax software is no substitute for a professional tax preparer*******
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joanne
Level 1
gulp
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joanne
Level 1
I just called her. She knew it was coming.
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abctax55
Level 15

Explain "employer" heath insurance and marketplace.  Those don't usually "go together".

"*******Tax software is no substitute for a professional tax preparer*******
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joanne
Level 1
Employer-provided health care
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abctax55
Level 15
I understand that...but if the employer provided insurance WHY was the marketplace involved?
"*******Tax software is no substitute for a professional tax preparer*******
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joanne
Level 1
BTHOM. (beats the hell outta me)
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itonewbie
Level 15

Or do you mean your client was on employer health insurance until end of June?  If you don't know, wouldn't this be a question for your client than this forum?

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Still an AllStar
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joanne
Level 1
I know that she was. I have the 1095B.
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joanne
Level 1
I also have a 1095A for July to October and a C for Nov/Dec
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itonewbie
Level 15
But you didn't say that in your response to Anna.
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Still an AllStar
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joanne
Level 1
Sorry, I'm juggling a lot of balls like all of you.
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abctax55
Level 15
"the marketplace" made me suspect, but to be honest, I've given up mind-reading for Lent. This job is hard enough as it is.....
"*******Tax software is no substitute for a professional tax preparer*******
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abctax55
Level 15
@joanne
Our answers can only be as good as the question/info provided.
Yes, we are ALL juggling right now.
"*******Tax software is no substitute for a professional tax preparer*******
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joanne
Level 1
of course. With the limited number of characters it's hard
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joanne
Level 1
to provide complete and accurate info
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abctax55
Level 15
There is NO LIMIT to the question area.  Only to the header.
Feel free to duplicate War & Peace.
"*******Tax software is no substitute for a professional tax preparer*******
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joanne
Level 1
LOL
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