Question

I think I might qualify for the Health Benefit Plan credit, but I'm not sure.

Forum|Forum|7 years ago
June 6, 2019
1 reply
0 views

We paid insurance premiums for a Healthcare Marketplace plan in 2016. Neither I nor my spouse had coverage through our employers. I think we qualify for the Health Benefit Plan credit on our state taxes, but I'm not positive. In the "Learn More" section, it does say it wouldn't qualify for "Amount of premiums paid that was used to claim a federal Health Coverage Tax Credit". Would Marketplace premiums have been included on my federal taxes under the Health Coverage Tax credit?

TurboTax Deluxe Online

B

BillM223

This answer applies if you live in Utah.

The federal Health Coverage Tax Credit is a specific credit that applies only to

An eligible trade adjustment assistance recipient, alternative TAA recipient or reemployment TAA recipient,
An eligible Pension Benefit Guaranty Corporation payee,

That is, only certain taxpayers who have lost jobs due to foreign competition or certain participants in the PBGC. It probably doesn't apply to you.

You can take the Health Benefit Plan credit on out-of-pocket (after-tax) payments for health insurance premiums only if

1. you were not on a health plan funded by your or your spousal employer, and

2. you were not on the plan in #1 only because you chose not to participate in it

Please see the detailed rules at the State of Utah website.

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