You can submit a special application found at http://marketplace.cms.gov/ · geto cialresources/publications-and-articles
Can I avoid the penalty if I don’t have health coverage? You may have to pay a tax penalty if you don’t have coverage. It could be almost 1% of your income, unless you get an exemption.
If you qualify for an exemption, there is
no penalty!
Start here!
1
STEP
Do any of these situations apply to you? • • • • •
Member of a recognized health care sharing ministry Member of a federally recognized Indian tribe or eligible for Indian Health Services (IHS)* Being incarcerated Gap in coverage for less than 3 months Not lawfully present in the U.S.
Yes?
*Are you an American Indian or Alaskan Native or eligible for IHS? You can submit a special application found at http://marketplace.cms.gov/ getofficialresources/publications-and-articles/tribal-exemption.pdf
2
STEP
You can receive an automatic exemption when you file your taxes next year (for 2014).
2014 Form 1040
Is your income too low for coverage? • Coverage not affordable* • Not required to file taxes because of low income
No?
3
No?
Go to Step 2
Go to Step 3
STEP
Follow the steps below to see which exemption may be right for you:
TAX TIP!
You won’t know if your income is too low until tax time next year. You may want to consider other exemptions if any apply to you or your family.
*Fill out a form with your employer to see if coverage is affordable: Federal Marketplace: http://marketplace.cms.gov/getofficialresources/publications-and-articles/affordability-ffm-exemption.pdf State Marketplaces: http://marketplace.cms.gov/getofficialresources/publications-and-articles/affordability-sbm-exemption.pdf
Are you a member of a recognized religious sect whose members object to insurance?
No?
Yes? You can submit a special application found at http://marketplace.cms.gov/ getofficialresources/publications- and-articles/ religious-sect-exemption.pdf
Go to Step 4
STEP
4
Do any of these hardships apply to you? • You were denied Medicaid because your state did not expand eligibility • An eligibility appeals decision made you eligible to enroll in qualified health plans (QHP), tax credits, or the deductible subsidy through the marketplace • You experienced unexpected increases in necessary expenses due to caring for an ill, disabled, or aging family member • You experienced fire, flood, or other natural or human-caused disaster that caused substantial damage to your property • Your individual insurance plan was cancelled • You filed for bankruptcy in the last 6 months • You had medical expenses you couldn’t pay in the last 24 months Yes? • You were homeless You can submit a special • You were evicted or facing eviction or foreclosure in the last 6 months application found at • You received a shut-off notice from a utility company http://marketplace.cms.gov/getofficialresources/ • You recently experienced domestic violence publications-and-articles/hardship-exemption.pdf • You recently experienced the death of a close family member • You expect to claim a child as a tax dependent who’s been denied coverage in Medicaid and CHIP, and another person is required by court No? You may have to pay a penalty. order to give medical support to the child. In this case, you do not have Complete this worksheet to calculate your penalty: http://www.jacksonhewitt.com/Resource-Center/Healthcare-and-Taxes/ to pay the penalty for the child.
Have questions or problems? Call Jackson Hewitt at 1-800-234-1040.
W’ere here to help!
This document is for illustrative purposes only, and users should discuss results with a trained tax preparer before drawing conclusions. Any person may use, reproduce, and/or distribute this document provided that they do so without modifying the content or format.
