Filling out Form 1095-A, Health Insurance Marketplace Statement, can seem like a daunting task, especially when it comes to integrating it with tax software like TurboTax. But fear not! This comprehensive guide will walk you through every step of the process, ensuring you accurately report your health insurance information and claim any eligible premium tax credits.
Let's dive in!
How to Fill Out Form 1095-A on TurboTax: A Step-by-Step Guide
Step 1: Gather Your Documents and Get Ready to Conquer Tax Season!
Before you even log into TurboTax, the most crucial step is to gather all the necessary documentation. This will make the entire process smoother and prevent frustrating stops and starts.
Your Form 1095-A: This is the most important document for this process. You should receive this form from your Health Insurance Marketplace (also known as the exchange) by late January or early February. It details the months you had coverage through the Marketplace, the total monthly premiums for your plan, the monthly amount of advance premium tax credit (APTC) paid on your behalf, and the monthly Second Lowest Cost Silver Plan (SLCSP) premium.
Pro Tip: If you haven't received your 1095-A, check your online Marketplace account. Most Marketplaces provide digital copies. If you still can't find it, contact your Marketplace directly.
Other Tax Documents: Have your W-2s, 1099s, and any other relevant tax forms handy. While not directly related to Form 1095-A, they'll be necessary for completing the rest of your tax return on TurboTax.
TurboTax Account Information: Make sure you have your TurboTax login credentials readily available.
Step 2: Log In and Navigate to the Health Insurance Section
Once you have your documents in hand, it's time to log in to your TurboTax account.
Access TurboTax: Open your web browser and go to the TurboTax website (turbotax.intuit.com) or launch the TurboTax desktop software.
Log In: Enter your username and password to access your account.
Continue Your Return: If you've already started your return, click on "Continue your return" or "Take me to my return."
Find the Health Insurance Section: This is where things can vary slightly depending on the TurboTax version you're using (Online vs. Desktop) and how far along you are in your return. Generally, you'll want to look for a section related to "Health Insurance" or "Affordable Care Act (ACA)."
TurboTax Online: You'll usually find this by navigating through the "Federal Taxes" or "Tax Tools" menu. Look for a section titled "Health Insurance" or "Affordable Care Act (ACA)."
TurboTax Desktop: Similarly, navigate through the "Federal" tab and look for "Health Insurance" or "ACA."
Step 3: Indicate You Had Marketplace Health Coverage
TurboTax will guide you through a series of questions to determine your health insurance situation for the tax year.
Answer the Initial Questions: TurboTax will ask if you had health insurance coverage for the entire year. Answer accurately.
Select "I received Form 1095-A": When TurboTax asks about how you got your health insurance, it's crucial to select the option that indicates you received Form 1095-A from the Health Insurance Marketplace. This tells TurboTax that you had coverage through the Marketplace and that you'll be entering information from your 1095-A.
Step 4: Enter Information from Your Form 1095-A
This is the core of the process. You'll be transferring information directly from your physical (or digital) Form 1095-A into TurboTax. Take your time and double-check every entry.
Sub-step 4.1: General Information
Marketplace ID and Policy Number: TurboTax will prompt you to enter the Marketplace Identifier and your Policy Number from your 1095-A. These are typically found at the top of the form.
Covered Individuals: You'll need to enter information for each individual covered under the policy as listed on your 1095-A. This includes their name, Social Security Number (SSN), and date of birth. Ensure these match exactly what's on your 1095-A and their respective SSN cards.
Sub-step 4.2: Monthly Premium Information (Part III, Form 1095-A)
This is where you'll enter the monthly breakdown of your health insurance information. Form 1095-A, Part III, will have a column for each month of the year (January through December).
Column A: Monthly Premium Amount: Enter the amount from Column A, Monthly Premium Amount, for each month you had coverage. This is the total premium for your health plan before any subsidies.
Column B: Monthly Advance Payment of Premium Tax Credit (APTC): Enter the amount from Column B, Monthly Advance Payment of Premium Tax Credit, for each month. This is the amount of subsidy the government paid directly to your insurance company.
Column C: Monthly Second Lowest Cost Silver Plan (SLCSP) Premium: Enter the amount from Column C, Monthly Second Lowest Cost Silver Plan (SLCSP) Premium, for each month. This is a crucial number for calculating your actual premium tax credit.
Important Note on Column C: Even if you didn't enroll in the SLCSP, this amount is used to determine the maximum amount of premium tax credit you're eligible for. If Column C is blank for any month, TurboTax might ask you questions to help it determine the correct SLCSP amount. This can happen if you changed plans mid-year, or if there were specific circumstances. In such cases, TurboTax might direct you to a tool or ask for specific information from your Marketplace account to calculate this.
Step 5: Review and Reconcile (Form 8962)
After you've entered all the information from your 1095-A, TurboTax will automatically generate or help you complete Form 8962, Premium Tax Credit (PTC). This is the form where the magic happens – it reconciles the advance premium tax credit you received with the actual premium tax credit you are eligible for based on your final income for the year.
TurboTax Calculations: TurboTax will use the information from your 1095-A and your overall tax return (specifically your Adjusted Gross Income, or AGI) to calculate your final premium tax credit.
Possible Outcomes:
You're getting more back: If the APTC paid on your behalf was less than what you were eligible for, you'll receive the difference as a refundable credit, increasing your refund or reducing your tax owed.
You owe some back: If the APTC paid on your behalf was more than what you were eligible for (e.g., your income increased during the year and you didn't update the Marketplace), you might have to pay back some or all of the excess APTC. The amount you have to pay back is typically capped based on your income level.
It evens out: In some cases, the amounts might be very close, resulting in little to no change to your tax liability.
Review Form 8962: Carefully review the generated Form 8962 within TurboTax. Ensure that the information from your 1095-A has been accurately transferred and that the calculations make sense.
Step 6: Final Review and Filing
Once you've completed the Form 1095-A and 8962 process, continue with the rest of your tax return on TurboTax.
Complete the Rest of Your Return: Enter all other income, deductions, and credits.
Comprehensive Review: Before filing, TurboTax will conduct a thorough review of your entire return. Pay close attention to any warnings or suggestions it provides, especially those related to your health insurance information.
File Your Return: Once you're confident everything is accurate, proceed to e-file your return.
Frequently Asked Questions about Form 1095-A and TurboTax
Here are 10 common "How to" questions related to filling out Form 1095-A on TurboTax, along with quick answers:
How to find my Form 1095-A if I haven't received it?
Quick Answer: First, check your online Health Insurance Marketplace account. Most Marketplaces provide digital copies. If not available, contact your specific Health Insurance Marketplace directly (e.g., Healthcare.gov or your state exchange).
How to handle a blank Column C (SLCSP premium) on my 1095-A in TurboTax?
Quick Answer: TurboTax will usually guide you through questions to help calculate this. You might need to provide information about your household, zip code, and the number of people covered to allow TurboTax to look up the correct SLCSP premium for your area. In some cases, you may need to log back into your Marketplace account to retrieve this specific information.
How to correct a mistake on my 1095-A?
Quick Answer: You cannot directly correct a 1095-A yourself. If you believe there's an error, you must contact your Health Insurance Marketplace to request a corrected Form 1095-A (a "void" or "corrected" statement). Do not file your taxes with incorrect information.
How to file if I had multiple 1095-A forms?
Quick Answer: If you had coverage from different Marketplaces or changed plans mid-year resulting in multiple 1095-A forms, you will need to enter information from each form separately into TurboTax. TurboTax will then combine the information to correctly calculate your premium tax credit.
How to report a change in my income that affected my premium tax credit?
Quick Answer: When you file your tax return, TurboTax will automatically reconcile the advance premium tax credit you received based on your actual income for the year, as reported on your tax return. You don't need to do anything extra beyond accurately reporting all your income.
How to understand if I owe money back from my premium tax credit?
Quick Answer: TurboTax will show you the calculation on Form 8962. If your actual income was higher than what was estimated by the Marketplace, you might have to repay some or all of the excess advance premium tax credit (APTC). TurboTax will indicate this as an additional tax liability or a reduction in your refund.
How to claim the premium tax credit if I didn't receive advance payments?
Quick Answer: Even if you didn't receive advance payments, you are still eligible to claim the premium tax credit if you meet the income requirements and purchased a plan through the Marketplace. TurboTax will still prompt you to enter your 1095-A information, and based on your income, it will calculate if you are due a refundable credit.
How to find the health insurance section in TurboTax if I'm lost?
Quick Answer: Use the search bar within TurboTax and type "1095-A" or "health insurance." This will typically direct you to the correct section much faster than navigating through menus.
How to get help from TurboTax support if I'm stuck?
Quick Answer: TurboTax offers various support options, including their online knowledge base, community forums, and direct contact options (chat or phone) with tax experts. Look for the "Help" or "Support" links within the TurboTax software or on their website.
How to know if my dependent's health coverage needs to be reported on my 1095-A?
Quick Answer: If your dependent was covered under the same Health Insurance Marketplace plan as you, their information will be included on your 1095-A. If they had separate Marketplace coverage (e.g., through their own application), they would receive their own 1095-A, and that would need to be reported on their tax return, not yours.
