HCTC: Eligibility Requirements - General Requirements
This page provides you with information about meeting HCTC general requirements for you and your family members.
You meet the general requirements for the HCTC if the following statements are true for every month that you want to receive the tax credit:
- You are covered by a qualified plan for which you pay more than 50% of the premiums
- You are not enrolled in Medicare Part A, B, or C; or you are enrolled in Medicare but only claiming premiums for your qualified family members
- You are not enrolled in Medicaid, or the Children's Health Insurance Program (CHIP)
- You are not enrolled in Federal Employees Health Benefits Program (FEHBP) or eligible to receive benefits under the U.S. military health system (TRICARE).
- You are not in prison under federal, state, or local authority
- You cannot be claimed as a dependent on someone else's federal income tax return
Eligibility for Your Family Members
Your family members also can receive the tax credit if they meet the same general requirements and are your spouse or can be claimed as a dependent* on your federal income tax return. Your family members also must have either the same qualified health plan as you or a separate qualified health plan.
According to the IRS tax code, there are two types of dependents:
- Qualified Child
- Qualified Relative
To find out more information about dependents, view the IRS Dependent Tax Tutorial.
*Even if you cannot claim your child as a dependent on your federal income tax return, he or she may be eligible for the HCTC if both of the following apply:
- You were the child's custodial parent- the parent with whom the child lived for the greater part of the year (6 months or more)
- The child's other parent can claim the child as a dependent under the rules for children of divorced or separated parents
If both of the above apply, the child may be eligible if the child's other parent does not treat the child as a qualifying family member for the HCTC. The child must also meet all of the other general eligibility requirements to be eligible for the HCTC.
To view other HCTC eligibility requirements:
Return to the HCTC Eligibility Requirements page.