health insurance penalty - MFJ

[kolee]

Hi,

If one of a married couple did not have insurance for 2016, do they still get penalized for 2.5% of house income, which is same as when both of them are missing health insurance? It doesn't make any sense. Please let me know if there's a way..or should I try to see if Married filing separately works better.

Thanks!

[David1980]

It's the larger of $695 per adult and $347.50 per child, or 2.5% of household income.

If 2.5% of household income is the larger number then yes, it makes no difference how many uninsured are on the return the amount is the same. You could try MFS. Did they get married in 2016?

[kolee]

Yes, they got married in 2016. They'll file MFS instead of MFJ. They'll pay less penalty. Thanks for the reply!