PTC & Form 8962

[Consultant]

Form 8962 calculates 8.5% of AGI to $21,000.00. (Rounded)
Premiums line 33 Column A is $24,000.00. (Rounded)
Refer to Tax Book page 11-14 lower left to paraphrase:
"household income is higher than 400%....pays no more
than 8.5%....for the cost of health insurance....
Does he have a $3,000.00 credit coming? And where do
you put it? I cannot find in IRS Instructions either.
Jack Kluter

[kathyc2]

What are the totals of column B and F?

[TaxGuyBill]

"household income is higher than 400%....pays no more
than 8.5%....for the cost of health insurance....

It is 8.5% of the SLCSP (column B), not column A (although in some cases, column A could reduce the credit).

[Consultant]

Kathy: 8962 Column B & F are $14,868.00
Column C is $22,539.00

[kathyc2]

Column C should be the same at amount on line 8a. You are saying 22.5 here and 21K in original question. Credits will only apply if cost of Second Lowest Cost Silver Plan (column B) is more than the Annual Contribution Amount (col C). In this case the SLCSP is less, so no credit. Based on what you posted D and E should both be zero. That's a pretty big difference between plan selected (A) and SLCSP (B). Also, for them to have received as advance credit (F) the full amount of SLCSP they would have indicated very low expected income when they signed up. I'd start by double checking that you entered the info from 1095A correctly. If you did, and these are true numbers they will need to pay back the 14,868 they received as advance credits.