The Massachusetts Department of Revenue has announced the penalty schedule, to be imposed through an individual’s personal income tax return, for an individual who fails to comply with the requirement of the state’s Health Care Reform Act. Beginning in 2012, an individual who is deemed able to afford health insurance, but fails to comply, is subject to penalties for each month that the individual is uninsured in the tax year. The penalties may not exceed 50% of the minimum monthly insurance premium for which an individual would have qualified through the Commonwealth Health Insurance Connector Authority. Penalty rates for tax year 2012 are based on the Commonwealth Health Insurance Connector’s plan prices as of January 2012. The Department anticipates issuing an updated penalty schedule for tax year 2013.
Technical Information Release 12-7, Massachusetts Department of Revenue, September 25, 2012 , ¶401-410