Aca and medicaid

[TAX4US]

TP eligible to claim dependent under multiple support rule. Dep does not live with tp. Dep (a grandchild age 4 ) receives some Medicaid assistance all year. Tp gross about 62k. If TP claims child is he required to have the ins for this child or is tp exempt because Dep child receives Medicaid assistance? Could this also cause Medicaid to look at TP income and remove the Medicaid assistance? Thanks for help as I do not know the answer.

[kathyc2]

It's my understanding that the multiple support is only for the people contributing funds could claim as qualifying relative, but not as qualifying child. In other words the BF is able to claim as QC, and can not be put into the mix of multiple support.

Also, if BF files a return to claim EIC on other child, then g'ma is excluded from claiming 4 yo as qualifying relative, multiple support agreement or not.

[TaxGuyBill]

If the child has 'full' Medicaid (which is almost always the case for children), the child has qualifying insurance so no further health insurance is needed.

If they live in a State that has fully 'expanded' Medicaid, the grandparents' income does NOT come into play. If they do NOT live in a State that has fully 'expanded' Medicaid, they need to contact their local Medicaid office to find out their rules.