Affordable Care Act—What You Need To Know

Requirement To Reconcile Advance Payments of the Premium Tax Credit

The premium tax credit helps pay premiums for health insurance purchased from the Marketplace. Eligible individuals may have advance payments of the premium tax credit made on their behalf directly to the insurance company.

If you or a family member enrolled in health insurance through the Marketplace and advance payments of the premium tax credit were made to your insurance company to reduce your monthly premium payment, you must attach Form 8962 to your return to reconcile (compare) the advance payments with your premium tax credit for the year.

The Marketplace is required to send Form 1095-A by January 31, 2018, listing the advance payments and other information you need to complete Form 8962.

  1. You will need Form 1095-A from the Marketplace.
  2. Complete Form 8962 to claim the credit and to reconcile your advance credit payments.
  3. Include Form 8962 with your 1040NR. (Do not include Form 1095-A.)

Health Coverage Reporting

You should receive the Form 1095-A or Form 1095-C, if applicable, by early February 2018. You don’t need to wait to receive your Form 1095-C to file your return. Don’t include Form 1095-A or Form 1095-C with your tax return.

If you or someone in your family was an employee in 2017, the employer may be required to send you a Form 1095-C. Part II of Form 1095-C shows whether your employer offered you health insurance coverage and, if so, information about the offer. You should receive Form 1095-C by early February 2018. This information may be relevant if you purchased health insurance coverage for 2017 through the Health Insurance Marketplace and wish to claim the premium tax credit on line 65. If you don’t wish to claim the premium tax credit for 2017, you don’t need the information in Part II of Form 1095-C. For more information on who is eligible for the premium tax credit, see the Instructions for Form 8962.