IRS Alerts Taxpayers About Corrected Forms 1095-A

Taxpayers who receive corrected Forms 1095-A, Health Insurance Marketplace Statement, for 2017 may need to file an amended return, if they have already filed, the IRS has reported. The Service highlighted some corrections that may require an amended return. The Service also instructed taxpayers what to do if they receive a “void” Form 1095-A.

Comment. Taxpayers who believe that they received a corrected or void Form 1095-A by mistake should contact the Health Insurance Marketplace, not the IRS.

Marketplace Coverage

Individuals with coverage through the Health Insurance Marketplace receive Form 1095-A from the Marketplace. Form 1095-A describes the health coverage. This includes the dates of coverage, the amount of the second lowest cost Silver plan premium (used to determine any premium assistance tax credit), and any amounts of advance payments of the credit. 2017 Forms 1095-A were due to Marketplace enrollees by January 31, 2018.

Comment. Some individuals may receive more than one Form 1095-A. This generally occurs when an individual changed Marketplace plans during the year, or if different household members had different plans.

Corrections

Taxpayers who have already filed their 2017 returns should determine what impact corrections on Form 1095-A may have on their returns. The Service explained that corrections likely to affect a return include changes to:

  • the number of individuals covered, or their ages;
  • monthly premium;
  • the amount of the second lowest cost Silver plan premium;
  • advance payments of the premium assistance tax credit; and
  • months of coverage.

“Void” Forms 1095-A

The Health Insurance Marketplace may also issue a “void” Form 1095-A. Generally, this occurs when an individual has applied for Marketplace coverage but did not complete their enrollment.

A “void” Form 1095-A affects a taxpayer’s eligibility for the premium assistance tax credit. Only individuals who enroll in coverage through the Health Insurance Marketplace may claim the credit. Therefore, a taxpayer who did not complete enrollment in the Marketplace would no be eligible for the credit.

By George L. Yaksick, Jr., Wolters Kluwer News Staff

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