health care mandate

[carolbatt]

client did not have medical insurance for 2017. i know he has to pay penalty with his return. i cannot find any information about 2018. will the penalty be eliminated on the 2018 return.
thanks

[RitaB]

2019

client did not have medical insurance for 2017. i know he has to pay penalty with his return. i cannot find any information about 2018. will the penalty be eliminated on the 2018 return.
thanks

No, it will not. Eliminated beginning 2019 tax year.

[geekgirldany]

I keep getting clients coming in saying there is no penalty for 2018. Not sure where they are getting his from other than maybe misunderstanding the new law. They probably hear the news outlets say "no health penalty for..." then forget the rest.

[Twin Turbo Z]

Be sure client does not qualify for the 8.15% income/premium exclusion.

[RitaB]

It's popular

Be sure client does not qualify for the 8.15% income/premium exclusion.

I think it's 8.16%. If the amount they'd have to pay for insurance exceeds 8.16% of income they qualify for this. I believe a lot of people miss the part about the amount they'd have to pay. I had a couple this week who were absolutely certain they qualified for the unaffordability exemption. They would have received free insurance on the Marketplace. That's affordable. I don't think this exemption is as common as people think it is. Well, I think it's commonly entered on the form, and incorrectly.

[Twin Turbo Z]

I think it's 8.16%. If the amount they'd have to pay for insurance exceeds 8.16% of income they qualify for this. I believe a lot of people miss the part about the amount they'd have to pay. I had a couple this week who were absolutely certain they qualified for the unaffordability exemption. They would have received free insurance on the Marketplace. That's affordable. I don't think this exemption is as common as people think it is. Well, I think it's commonly entered on the form, and incorrectly.

Sorry I hit 5 instead of six. Fat fingers !!! You should read my text sent on my phone !!! Crazy !! In my area many people qualify for the exemption due to the 8.159999 % threshold. Sorry 8.16% **** fingers !!!