• About

Bell Associates

~ Ask The Professionals

Bell Associates

Monthly Archives: May 2014

The ACA Premium Tax Credit: Take It Now or Later?

06 Tuesday May 2014

Posted by bellassociates in ACA Analysis and Oversight

≈ Leave a comment

This year over 7.1 million Americans enrolled in health plans on state and federal health insurance exchanges created by the Affordable Care Act (ACA). For many families, one of the benefits of enrolling in an exchange health plan is the “Premium Tax Credit,” also known as a premium subsidy. The subsidy is provided to help make the cost of healthcare insurance affordable to individuals and families who meet certain eligibility requirements:

  • You must purchase insurance through a health insurance exchange (e.g., the Marketplace);
  • Your household income must be between 100% and 400% of the federal poverty level (“FPL”).
  • You must not be eligible for “affordable” employer-sponsored coverage, or government-sponsored coverage (like Medicare, Medicaid, CHIP, or TRICARE);
  • You cannot be claimed by another person as a dependent; and
  • You cannot file a “married filing separately” tax return (except in certain domestic violence situations—see IRS Notice 2014-23).

Your eligibility for the credit, and the amount of the credit you can receive, is determined based on the information you provide when you apply for coverage. If you are eligible, you decide when to receive the credit:

  • Take it now – You can choose to have part or all of your estimated credit paid directly to your insurance company, thus lowering your share of monthly premiums during 2014.

or

  • Take it later –You can wait until you file your 2014 income tax return (in 2015) to take the credit, which will be a refundable credit on your income tax return.

Continue reading →

  • LinkedIn
  • Twitter

Like this:

Like Loading...

Your Company Could Pay When Employees Qualify for ACA Tax Credit

02 Friday May 2014

Posted by bellassociates in ACA Analysis and Oversight

≈ Leave a comment

Most people are aware by now that the Affordable Care Act (ACA) requires individuals to have health insurance coverage beginning in 2014, and that many of those individuals who purchase coverage through a government-run insurance exchange will qualify for a premium subsidy or tax credit—the government pays a portion of their premium if their income is below 400% of the Federal Poverty Level. But do you know what the consequences are for your company if one of your employees receives a tax credit? Continue reading →

  • LinkedIn
  • Twitter

Like this:

Like Loading...

Subscribe

  • Entries (RSS)
  • Comments (RSS)

Archives

  • December 2015
  • May 2015
  • February 2015
  • November 2014
  • October 2014
  • August 2014
  • July 2014
  • June 2014
  • May 2014
  • April 2014
  • March 2014
  • February 2014

Categories

  • ACA Analysis and Oversight
  • Administrative Functionality
  • Enrollment and Communication
  • Legal & Compliance
  • Strategic Long-Term Planning

Meta

  • Register
  • Log in

Create a free website or blog at WordPress.com.

Privacy & Cookies: This site uses cookies. By continuing to use this website, you agree to their use.
To find out more, including how to control cookies, see here: Cookie Policy
%d bloggers like this: