Question

Premium Tax Credit owed back

Forum|Forum|5 years ago
July 12, 2020
1 reply
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I enrolled in Obamacare in May 2019 and provided estimated annual income that qualified me for $882 in premium tax credit. Per form 8962 however I now owe back $798. My income did NOT change in 2019. Was my discount miscalculated by the marketplace or is the 8962 formula off? It shows that I should contribute nearly 10% of my AGI towards health insurance which seems crazy given my annual income is under $37K.

A

AmeliesUncle

I have seen where the Marketplace has incorrectly given too much Advance credit. But I'm surprised if they are still doing that.

Check line 3 of Form 8962. Is that about the income that you told the Marketplace?

Is your family size the same as what you told the Marketplace?

Yes, $37,000 for a Household Size of one person would result in about 10% being used for Marketplace health insurance premiums (based on the Second Lowest Cost Silver Plan).