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April 1, 2023
Question

Why am I supposed to pay back the health insurance marketplace discounts I received for 4 months even though I changed it over to my company's insurance when I was hired?

  • April 1, 2023
  • 1 reply
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1 reply

AliciaP1
April 1, 2023

The Premium Tax Credit that applies to marketplace-purchased insurance is calculated based on your earned income for the year.  There is a phase-out limit when you are no longer eligible for the credit.  When you first apply for your marketplace insurance, you estimate your income and may get the credit based on the anticipated calculation that happens when you file your tax return for the year and can verify the income amount.  See What is the PTC for more information.

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