Health Coverage Tax Credit

Notice: Historical Content

This is an archival or historical document and may not reflect current law, policies or procedures.

For more information on who is eligible to claim the Health Coverage Tax Credit for tax year 2021, which plans are qualified health plans for the HCTC, and how to figure your credit, see Form 8885, Health Coverage Tax Credit.

Form 1099-H, Health Coverage Tax Credit (HCTC) Advance Payments, which reports the portion of HCTC advance monthly payment amounts we paid for your benefit in 2021, will be sent out by January 31, 2022. See Understanding Your Letter 6129 for more information.

You MUST file Form 8885 with Form 1040, 1040-NR, 1040-SS, or 1040-PR on or before April 18, 2022, (April 19, 2022, if you live in Maine or Massachusetts), or request an extension to file your tax return on or before April 18, 2022 (April 19, 2022, if you live in Maine or Massachusetts), even if you're not claiming any additional HCTC on Form 8885.

The Taxpayer Certainty and Disaster Tax Relief Act of 2020, Section 134 extended the HCTC program through December 31, 2021. For Participants enrolled in the Monthly HCTC Program, the final payment due date is December 10, 2021 for December coverage. The final 2021 payment file will be sent on December 21, 2021.

The IRS does not have the administrative authority to further extend the credit. If an extension is enacted by Congress, then the IRS will implement the change and notify affected taxpayers. Individuals can also monitor this site for updates.

Do not submit any payments for coverage months in 2022. If new legislation is passed, you will need to re-enroll in the program for 2022 to request advance payments and request allowable reimbursement of payments you paid directly to your vendor or provider for 2022 qualified health coverage.

Instructions and timelines will be provided on this webpage and through participant letters.