Get Ready for Tax Season
The tax season has arrived. Follow these steps to prepare if you have Marketplace health insurance in 2021.
1) Keep searching for Tax Form 1095-A
- Your Form 1095-A contains information about Marketplace coverages purchased by your household members in 2021.
- It will be mailed to you from the Marketplace agency (not the IRS) by early February. You may also receive it before that time in your Marketplace account.
2) Double-check your Form 1095-A
- Read the instructions on the back carefully. Confirm that your coverage and household information, the “second-lowest-cost Silver Plan,” and the monthly deductible are correct.
- If you discover any errors, please get in touch with your insurance agent. They’ll send you an updated version. Wait until you have it before filing your tax.
- If it’s accurate, but you’re not ready to file it, keep it in a safe place.
3) Reconcile with the amended 1095-A Form when you are ready to submit
- You will use the details from your correct Form 1095-A to complete Part II of the 8962 Form.
- How to “reconcile” is explained in this article on our website.
- The difference between the cost of a premium tax credit used in advance during the year and the cost of the premium tax credit you qualify for will affect your tax rebate or the amount of taxes you owe.
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About the Author: Daniel Greene
I’m Daniel Greene, and I write for InsuranceShopping.com to help U.S. consumers better understand and compare auto, home, health, life, and Medicare coverage. My articles focus on breaking down complex insurance topics, from policy features and premium factors to timely updates on plan changes and enrollment periods. I’ve spent years researching the insurance landscape and consumer protection guidelines, which allows me to provide clear, practical guidance for people navigating major life events or simply looking to lower their costs. My goal is to give you the facts you need to make informed decisions without the industry jargon.
